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Re: Jwbaggz1987 post# 56523

Saturday, 09/02/2017 7:21:13 PM

Saturday, September 02, 2017 7:21:13 PM

Post# of 127559
The price per share changes your cost estimation, though. Sure, it only cost a few grand to get in at a penny. But when the share price eclipses $2, 500,000 is worth $1M. We wouldn't view those shares as having cost $5,000, we'll view those shares as being worth a fortune. Then you have to ask yourself what's the best use of that resource.

That kind of return is certainly compelling! I love options, but I use them in the way they were intended, as risk mitigation derivatives. Most of the options bought and sold today are piling on risk.