The power of the option concept is obvious when we see its applications to so many instruments and risk management problems. The seminar begins with an analysis of vanilla options.

 

At the end of Intrinsic Value's training seminar in vanilla options the participant should be able to:

􀂅  Define   premium,   underlying,   strike   (exercise)   price,   expiration  date

    (expiry), in-the-money, at-the-money and out-of-the-money.

􀂅  Draw the expiration payoff diagram of a put and a call.

􀂅  Compare and contrast the risk of long and short option positions.

􀂅  Compare and contrast American, European and Bermudan options.

􀂅  Draw   and   discuss  the  expiration  payoff  diagrams  of  a  covered  call,

     protective  put,  call spread, put spread, straddle, strangle, collar, butterfly

     and condor.

􀂅  Describe a calendar spread.

􀂅  Discuss uses of straddles, strangles, risk reversals, collars, butterflies and

     condors.