Education

 

Beginner Syllabus


Beginner Level Syllabus

Overview
After working through the material in the Basic Level you should have strong knowledge of the basics of options trading and the option markets. Buying and selling options of options is covered along with the introduction to option terminology and some basic strategies. Upon successful completion of the exercises and exam included in this syllabus you will be fully prepared to dive into the material presented in the Intermediate Level.


Required Online Courses

  • Options Warm-up: The Language of Options and Options' Mechanics
  • Fundamentals of Equity Options: Basic terminology, characteristics and concepts of equity options.
  • Fundamentals of Index Options: Basic terminology, characteristics and concepts of index options.
  • Introduction to Options Basics: Terminology, characteristics and concepts unique to options.
  • Profit and Loss Diagrams
  • Covered Call Writing: The basics of Covered Call Writing including assignment, tax implications and the Buy/Write strategy.

Required Strategy Discussions

  • Equity Option Strategies - Buying Calls
  • Equity Option Strategies - Buying Puts
  • Equity Option Strategies - Covered Calls
  • Equity Option Strategies - Protective Puts
  • Equity Option Strategies - Cash-Secured Puts

Required Tasks

  • Simulated Trading Tools - open an account and trade all strategies from the required strategy discussions.

Required Exam

  • Proficiency Exam - Beginner Level



Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options (ODD). Copies of the ODD are available from your broker, by calling 1-888-OPTIONS, or from The Options Clearing Corporation, One North Wacker Drive, Suite 500, Chicago, Illinois 60606. The information on this website is provided solely for general education and information purposes and therefore should not be considered complete, precise, or current. Many of the matters discussed are subject to detailed rules, regulations, and statutory provisions which should be referred to for additional detail and are subject to changes that may not be reflected in the website information. No statement within the website should be construed as a recommendation to buy or sell a security or to provide investment advice. The inclusion of non-CBOE advertisements on the website should not be construed as an endorsement or an indication of the value of any product, service, or website. The Terms and Conditions govern use of this website and use of this website will be deemed acceptance of those Terms and Conditions.