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To: sam who wrote (2831)12/26/1998 10:36:00 AM
From: jjs_ynot  Respond to of 4903
 
Anyone working with options needs to gain an understanding of the risk/reward profiles for various option strategies from selling covered calls to exotic condor, calender spreads.

The other key features to understand are:
- the concept of time-decay (which explain why 90 plus percent of all options expire worthless)
- implied volatility (which drives the time premium of option pricing)
- the time-premium versus intrinsic value components of options