Transcript: CIBC Investor’s Edge — Options explained: What you need to know

[Options Explained: What You Need to Know ]

[CIBC logo. CIBC Investor’s Edge — Options Explained: What You Need to Know. A closed laptop is shown, which opens to show a bar graph and a line graph on its monitor.]

[A graphic shows a document and pen icon, labelled above: “An option is a contract”. To the right a coin icon appears with arrows moving out of it in both directions and is labelled above: “to buy or sell a stock”. A calendar icon appears to the right and is labelled: “in the future”. Beside this a money icon appears, labelled: “at a designated price”, which then changes to: “(strike price)”. The last money icon then changes to a clock icon and below is labelled: “for a specified period of time”. The hands on the clock icon move around and the label is changed to: “or until the expiry date”.]

>> CIBC Investor’s Edge employee: An option is a contract to buy or sell a stock in the future at a designated price, otherwise known as a strike price, for a specified period of time, or up until the expiry date.

[CIBC Investor’s Edge is a division of CIBC Investor Services Inc. This document is provided for general informational purposes only and does not constitute investment advice. The information contained in this document has been obtained from sources believed to be reliable and believed to be accurate at the time publishing, but we do not represent that it is accurate or complete and it should not be relied upon as such. All opinions and estimates expressed in this document are as of the date of publication unless otherwise indicated, and are subject to change. The CIBC logo is a registered trademark of CIBC. The material and its contents may not be reproduced without the express written consent of CIBC.]

[CIBC logo. CIBC Investor’s Edge. The CIBC logo is a trademark of CIBC.]