Calls and puts trading?

briniuk

I use trading212 for shares buying and selling but whats the best one to use for call and put deals?

bd10

Before you jump in, make 100% sure you understand the product which includes knowing the Greeks (Delta, Gamma, Vega etc, and calculate them manually (or semi-manually)) and pricing models, Black & Scholes, Black 76, ....
Honestly, if you have to ask this question, you are miles away from being ready dealing them. You seem to have no idea. Which market you want to play? Each derivatives exchange has list of clearing members, you can start from there. Find the broker that offers round trip fees of $2/lot. That's what industry pays. But seriously, I think twice, this is a highly professional game.
NB: I deal in both on-exchange and OTC derivatives daily.

DeltaNeutral

Traded Options almost finished me off.
Possibly the quickest way to lose money.
I was a trading addict and possibly delusional, but even now over ten years since I effectively stopped daily trading I still think my strategy works (used by market makers), if only the transaction costs were zero.
At one point I had 400+ UKX LIFFE Options (that's at £10/point) in near zero Delta, adjusted every day at 8:00 am by phone to my Broker. I'd work all night with spreadsheets to get the Delta neutral and the margin close to zero (London SPAN margin data used to come out at 9:00pm).
Of course it lead to a nervous breakdown, divorce, loss of home, 2 rentals and at least £300K (I stopped counting at £300K).
You may think you understand the Greeks but the thing that you'll never be able to control is the IV (Implied Volatility) and if you're shorting Options your account can be wiped in the blink of an eye because IV can triple and more.

Be very careful if you decide to play Calls/Puts!

DYOR

PS. Interesting fact is that it was IV that created the biggest (at the time) financial failure of any company. The LTCM hedge fund run by 2 Nobel Prize winning economists, one being the Scholes in "B&S". They managed to lose over $100B in 1998.

DeltaNeutral

Having said all that, they do have a place in protecting/hedging a position, or a way to Buy stock at a discount, or Sell stock at better prices. Cash covered yes, naked no.

DYOR

Alexland

What is your investment objective? For most of the regulars here we are growing our wealth by making long term investments owning valuable assets. Beware getting sucked into Trading 212 as however glossy their appearance most of their customers will lose money on this activity. Certainly not a company I would 'invest' with.