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hello money makers today were gonna go back into our financial topics and today well be reviewing options options contracts are derivatives that get their value based off of underlying securities such as stocks i have to mention theres a lot that goes into this topic so this will just be part one of a series that im starting options contracts gives the opportunity to the buyer to either buy or sell an underlying asset unless they decide not to each option contract will have an expiration date at which they would have to make their decision whether to buy or sell the stated price on an option contract is known as the strike price options contracts are broken up into two different categories which is call options and put options is to buy an options contract and put options are to sell options contracts traditionally professional investors will use options contracts to hedge any kind of risk on their portfolios most recently a lot of retail investors have been using options contracts