Category Archives: Boss Capital Review

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Boss Capital is a new player on the binary options market. Launched in 2014, Boss Capital is one of the fastest growing Binary Options platforms on the market with a rising clientele. Boss Capital is hosted by Tech Financials, and was established as a way for experienced binary options traders to invest in binary options, […]

… But What’s a Binary Option?

A binary option is a type of option where the payoff is either some fixed amount of some asset or nothing at all. The two main types of binary options are the cash-or-nothing binary option and the asset-or-nothing binary option. The cash-or-nothing binary option pays some fixed amount of cash if the option expires in-the-money while the asset-or-nothing pays the value of the underlying security. The options are binary in nature because there are only two possible outcomes. They are also called all-or-nothing options, digital options (more common in forex/interest rate markets), and Fixed Return Options (FROs) (on the American Stock Exchange). Binary options are usually European-style options.

For example, a purchase is made of a binary cash-or-nothing call option on XYZ Corp's stock struck at $100 with a binary payoff of $1000. Then, if at the future maturity date, the stock is trading at or above $100, $1000 is received. If its stock is trading below $100, nothing is received.

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Category Archives: Boss Capital Review

bosscapital.com