OFF Topic re: LEAPS Options
posted on
Sep 22, 2021 04:17PM
I appreciate being corrected recently about the length of time till Expiration on American LEAPS Options. I genuinely was under the impression that 15 months was about the max.
All American LEAPS have a January Expiration, but after doing a little research into the subject I have found information verifying that some LEAPS Options have a 2 year life and some even have a 3 year life, far beyond my previous opinion about 15 months being the fartherest time extension.
In the process of doing some scanning of info about LEAPS I came across an interesting article from one person's perspective about the advantage of LEAPS trading. The obvious advantage always given is that it gives you more time to be right about the general direction of movement of the stock of a particular company, but the author of the piece linked below has a different perspective in respect to the multiplier effect of short term movements of a stock in the direction predicted by the buyer of LEAPS Options vs the ROI that would be experienced by the buyer of the actual shares of the underlying stock.
It has been way so many years since I did any LEAPS trades. Reading this article has me interested in again doing LEAPS trades. Sure, it is only one perspective and there are definite "Cons" to doing LEAPS trading, but take a look at the article and see what you think. It doesn't cost a dime to look.... only to "LEAP".
Okiedo
https://investmentu.com/trading-leaps-options/