SEC Issues Two Investor Bulletins on Options
The SEC Office of Investor Education issued two investor bulletins that contain information about the basics of options trading. The bulletins explain what to expect when opening an options trading account with a broker-dealer.
The investor bulletin titled "An Introduction to Options" explains what options are, covers basic options terminology and discusses the risks associated with trading options.
The investor bulletin titled "Opening an Options Account" discusses the kind of information that investors must provide in an options agreement with a broker, as well as the disclosures that a broker is required to provide to all potential options investors.
See: SEC Investor Bulletin: An Introduction to Options; SEC Investor Bulletin: Opening an Options Account.