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Soft Skills: The software developer's life manual by John Z. Sonmez

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Chapter 51. Options: Where all the fun is

For a long time I thought the stock market was all about buying shares of stocks. I didn’t understand that most serious investors do more than just buy low and sell high. I’ve found that I wasn’t alone. Most people I talk to have no idea what an option is and how this investment vehicle allows you to apply the power of leverage to greatly magnify your potential gains—or losses—in the market.

It turns out that most people who invest in the stock market don’t bother to understand how options work because they either deem them too complicated or they think it will take too much time. While it’s true that options aren’t exactly the easiest things to understand, as a software developer, you’ll probably find ...

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