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How do I sell options?



Our response:

A stock option is a contract that gives the buyer the right – but not the obligation – to buy or sell a stock at a specific price on or before a certain date. You don’t have to invest directly in the stock. You can just buy the option. One option usually gives you the right to buy or sell 100 shares of a stock.

If you own stock options that you wish to sell, you will need to set up an account with a full-service or discount broker. Generally there are transaction fees to buy or sell in an investment account. Speak to a registered financial advisor for information on buying and selling options, and for information on the associated fees.

If you are asking about selling options as a market participant to investors in Ontario, you may wish to contact the Ontario Securities Commission’s Inquiries & Contact Centre for further information.

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