Options Trading for the Conservative Investor: Increasing Profits without Increasing Your Risk,, 2nd Edition

Product Author Bios

Michael C. Thomsett has published more than 70 books on investing and business topics, including Stock Profits: Getting to the Core (FT Press, 2004) and many other books concerning options and stock market investing. His best-selling book Getting Started in Options (John Wiley & Sons, 2009) is in its 8th edition and has sold more than 250,000 copies. He has written many other books published by John Wiley & Sons, Amacom Books, and Dearborn. Thomsett lives in Nashville, Tennessee.

“The author’s option trading guidelines include important issues often overlooked by investors. Attention conservative investors! Michael C. Thomsett’s Options Trading for the Conservative Investor has hit a bull’s-eye...for you!”

—Marty Kearney, The Options Institute, Chicago Board Options Exchange

“Michael C. Thomsett has done a terrific job of showing how a conservative investor can use certain option strategies to his advantage. He spells out how that investor can utilize options to provide income, to protect stock holdings, or even as a substitute for stock itself. Every open-minded conservative investor should read this book.”

— Lawrence G. McMillan, publisher, The Options Strategist newsletter; president, McMillan Analysis Corporation; author, Options as a Strategic Investment

“This book is a must for the diligent investor. Perfectly timed for these uncertain markets, Michael C. Thomsett provides a lucid guide for how to approach options trading conservatively, yet also focuses on the fundamental need for good returns and provides real examples throughout.”

—Guy Cohen, author of The Bible of Options Strategies and creator of OptionEasy (www.optioneasy.com) 

• New downside protection strategies, detailed examples, and step-by-step techniques for conservative investors
• Easy enough for virtually any experienced investor to use—even those without options experience
• By renowned options expert Michael C. Thomsett, author of the global best-seller Getting Started in Options

To protect yourself in today’s volatile and uncertain market environment, you need to hedge losses, create extra sources of income, and reduce risk. In this book, internationally renowned options expert Michael C. Thomsett shows how to do all that effectively. One step at a time, Thomsett helps you exploit 12 carefully chosen options strategies that can dramatically increase your overall returns as you manage risks within your personal limits.

Table of Contents

Acknowledgments     xi

About the Author     xii

Preface     xiii

Chapter 1: Setting the Ground Rules     1

Chapter 2: Option Basics     7

Chapter 3: Options in Context     51

Chapter 4: Managing Profits and Losses     85

Chapter 5: Options as Cash Generators     107

Chapter 6: Alternatives to Stock Purchase     133

Chapter 7: Option Strategies in Down Markets     157

Chapter 8: Combination Conservative Techniques     189

Chapter 9: Stock Selection and the Option Contract     221

Appendix: Option Trading Strategies     239

Glossary     243

Index     249