thinkorswim® paperMoney® Simulated Options Trading

August 28, 2023 Beginner
In this tutorial, we'll demonstrate how to use thinkorswim® paperMoney® to practice trading options.
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This material is presented for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The type of securities and investment strategies mentioned may not be suitable for everyone. Each investor needs to review a security transaction for his or her own particular situation.

Corporate names, symbols and market data are shown for illustrative purposes only and do not constitute recommendations, offers to sell, or solicitations of offers to purchase any security.

Past performance is no guarantee of future results.

Investing involves risks, including the loss of principal invested.

Options carry a high level of risk and are not suitable for all investors. Certain requirements must be met to trade options through Schwab. Please read the options disclosure document titled "Characteristics and Risks of Standardized Options."

Supporting documentation for any claims, comparison, statistics, or other technical data will be supplied upon request.

Weekly options are short-lived instruments and positions require close monitoring, as they can be subject to significant volatility. Profits can disappear quickly and can even turn into losses with a very small movement of the underlying asset.

Multiple-leg options strategies will involve multiple commissions. With long options, investors may lose 100% of funds invested.

Probability analysis results are theoretical in nature, not guaranteed, and do not reflect any degree of certainty of an event occurring. The paperMoney® software application is for educational purposes only. Successful virtual trading during one time period does not guarantee successful investing of actual funds during a later time period as market conditions change continuously. The application ignores dividend payments and the possibility of early option assignments.