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Wider Spreads or More Contracts? Nick Battista has the answer.

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Intrinsic and Extrinsic Value

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Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

An option’s value is comprised of two components: Intrinsic Value and Extrinsic Value. Today, Tom and Tony discuss the important concepts between these two.

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