Option risk and rewards

As with any financial instruments, there is a corresponding risk and reward for entering into the financial instruments. Options give you an additional way to participate in the market. There is no guarantee that you will earn from options. However, it is an additional avenue to express your views other than just the traditional buying and selling of the underlying shares.

I think one of the reasons why people go into options is options enable a person to potentially gain outsize return for a smaller amount of capital outlay. for example, if your option maturity crosses over earnings announcement you can expect higher potential movement if there is some earnings surprise. But ultimately be prepared for the assignment of the stocks when entering into option trades and always trade with money that you can afford to lose.

Good luck