Zerodha (Trading & Demat Account)
FREE Equity Delivery and MF
Flat ₹20/trade Intra-day/F&O
Zerodha (Trading & Demat Account)
FREE Equity Delivery and MF
Flat ₹20/trade Intra-day/F&O
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asked
In Options trading, you buy a contract which gives you the right but not the obligation to buy the underlying at a specified price within a specified period. In stocks trading, you buy stocks that give you partial ownership in a company.
Options Trading Vs Stocks Trading
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Options Trading |
Stocks Trading |
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You pay the premium which is a fraction of the cost of the underlying. |
You pay the actual price of the stocks. |
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You can profit from a downward, upward and a sideways movement of the underlying. |
You profit from upward movement of the underlying, except in case of intraday trading. |
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Risk can be managed. |
The risk is unlimited. |
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It has a definite time period. |
You can hold it as long as you wish. |
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Involves no delivery and cash settled. |
Involves delivery of the stocks. |
List of all questions Ask your question
List of all questions Ask your question
FREE Intraday Trading (Eq, F&O)
Flat ₹20 Per Trade in F&O
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When you buy a stock, you are purchasing a share in a company and betting on its future growth. You can make a profit if the stock's price increases and sell it at a higher price than what you paid for it. However, if the stock price goes down, you will incur a loss.
Options trading, on the other hand, involves buying or selling contracts that give you the right to buy or sell an underlying asset, such as a stock or commodity, at a specific price and time. Options trading can offer more flexibility and potential profit than stock trading, but it also involves more risk and requires a deeper understanding of the market.
At Hedged, we offer both stock and options trading recommendations through our trained algorithms and team of experts. With our platform, you can access free algorithmic hedged options trades and live funds with built-in hedges, giving you the tools and knowledge to make informed investment decisions in both stock and options trading.