Options are derivative products: someone does not buy or sell the securities themselves, but the right to buy or sell a number of securities within an agreed period. The price of the option is largely determined by the price and the level of movement (‘volatility’) of the underlying asset. This underlying asset is the security from which the option is derived. These can be shares, but also, for example, an index. For a share option, the underlying asset normally consists of 100 shares.
"}},{"componentType":"paragraph","title":"What types of options are there?","richBody":{"value":"There are two types of options:
In every options transaction, two parties are involved: a buyer and a writer. Whoever buys an option obtains a right. Opposite them is someone who takes on an obligation, the writer of the option.
| Call | Put | |
|---|---|---|
| Buy | Right to buy | Right to sell |
| Write | Obligation to sell | Obligation to buy |
With options, many different investment strategies are possible. Many books have been written about option strategies. There are also option series based on many different kinds of investments, such as shares and indices.
Investing in options can be interesting if you:
You can potentially make a high return from increases or decreases in value with options, but you can also lose a lot of money. Because of the leverage effect, values can increase or decrease strongly. With options, you do not receive any (direct) dividend payment.
"}},{"componentType":"paragraph","title":"Starting to invest in options","richBody":{"value":"Do you want to start investing in options? Then we recommend reading the following pages:
"},"textLinks":[{"url":"/particulier/beleggen/hoe-werkt-beleggen/beleggingsinstrumenten-opties-uitleg","text":"Explanation of option terms"},{"url":"/particulier/beleggen/hoe-werkt-beleggen/beleggingsinstrumenten-beleggen-met-opties-in-de-praktijk","text":"Investing with options in practice"},{"url":"/particulier/beleggen/service/expiratieprocedure","text":"Option expiry procedure"}]},{"componentType":"paragraph","title":"How can I invest in options with ING?","richBody":{"value":"With our Self Invest (Zelf op de Beurs) account, you can trade in options. You can open the account easily through My ING. To be able to invest in options, you first complete a Knowledge and Experience Test and enter into an Option Agreement with ING. Specific conditions apply. You can read which ones they are here.
"},"textLinks":[{"url":"https://assets.ing.com/m/de474d56389008e7/original/Voorwaarden-Opties-december-2019.pdf","text":"Voorwaarden voor beleggen in opties bij ING"}]},{"componentType":"paragraph","title":"Risks of investing in options","richBody":{"value":"It is important that you understand the risks of options well before you start investing in them. Read the risks of options carefully.
"}},{"componentType":"paragraph","title":"Good to know","richBody":{"value":"Investing involves risks and costs. You may lose (part of) your investment. Read more about the risks of investing and how you can reduce them.
*For informational purposes, we will use the name Self Invest. The actual product name, which will also appear in the onboarding flow and on your bank statements, is Zelf op de Beurs. This translation is intended for the customer’s convenience only. In the event of any inconsistency between the English translation and the original Dutch version, the original Dutch version shall prevail.
"}},{"componentType":"linkList","iconTitle":{"title":"Discover more about investing"},"textLinks":[{"url":"/en/personal/investing","text":"Investing with ING"},{"url":"/en/personal/investing/sustainability","text":"Sustainable investing"},{"url":"/en/personal/investing/how-does-investing-work","text":"How does investing work"},{"url":"/en/personal/investing/ing-investment-office","text":"ING Investment Office"},{"url":"/en/personal/investing/market-news-and-views","text":"Market news and views"}]}]}}}