Binary Options Explained

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Binary Options Explained

Posted on by John Thiel

Binary Options Defined: Binary options are a type of stock option in which the payout is designed to be either a fixed or pre-approved amount of compensation if the option expires in the money invested, or nothing at all if the option expires outside of the initial funds invested. Binary options are different from plain vanilla options at times referred to as “all-or-nothing options” or ”digital options”. These are the most common or used financial instruments, such as the basic stock options, swaps, bonds (in all their forms), and futures. Binary options are exactly the opposite of vanilla stocks and may be considered by some …

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