Market volatility, volume and system availability may delay account access and trade executions.
Options involve risks and are not suitable for all investors as the special risks inherent to options trading may expose investors to potentially rapid and substantial losses. Options trading privileges subject to TD Ameritrade review and approval. Please read Characteristics and Risks of Standardized Options before investing in options.
All investments involve risks, including the loss of principal invested. Past performance of a security does not guarantee future results or success. TD Ameritrade does not make recommendations or determine the suitability of any security, strategy or course of action, for you, through the use of TD Ameritrade's trading tools. Any investment decision you make in your self-directed account is solely your responsibility. Please consult other sources of information and consider your individual financial position and goals before making an independent investment decision. Videos are provided for general information purposes only and should not be considered an individualized recommendation or advice. While deemed reliable, TD Ameritrade makes no representations or warranties with respect to the accuracy or completeness of information provided.
TD Ameritrade, Inc. and Investools, Inc. are separate but affiliated companies that are not responsible for each other's services or policies.
Investools® does not provide financial advice and is not in the business of transacting trades.
Trading futures and forex involves speculation, and the risk of loss can be substantial. Clients must consider all relevant risk factors, including their own personal financial situation, before trading. Trading foreign exchange on margin carries a high level of risk, as well as its own unique risk factors. Forex investments are subject to counter-party risk, as there is no central clearing organization for these transactions. Please read the following risk disclosure before considering the trading of this product: Forex Risk Disclosure.
Spreads and other multiple-leg option strategies can entail substantial transaction costs, including multiple commissions, which may impact any potential return. These are advanced option strategies and often involve greater risk, and more complex risk, than basic options trades.
A covered call strategy can limit the upside potential of the underlying stock position, as the stock would likely be called away in the event of substantial stock price increase. Additionally, any downside protection provided to the related stock position is limited to the premium received.
A long call or put option position places the entire cost of the option position at risk. Should an individual long call or long put position expire worthless, the entire cost of the position would be lost.
Educational resources are provided for general information purposes only and should not be considered an individualized recommendation or advice.
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