Choosing a job is one of the most important things that we need to do in our lives. Our career is one of our top priorities as well. So, that’s why, it’s essential that we choose the best one that provides us with security, stability, and money. Now, there are lots of jobs out there that fit the criteria that we just mentioned. For those, who have a head for the numbers and also find interest in stock markets, the job of an options trader may become a good career chice.
So, the sources tell us that an OP invests in options. These are contracts that provide an owner of the stocks with the right to buy. In addition, it also provides the users with the option to even sell the stock at a fixed price for a certain amount of time.
For instance, an options trader can help a client in stock market operations. So, at this job, you need to work in an office environment. There are people who also work remotely during a regular work week, especially when the market is open. Moreover, we should also mention that you need to work for large investment banks. In addition, there are also options available where you may work for huge private fund companies that buy and sell stock options.
The Risk Factor Of Option Trading
So, it’s worth noting that options trading does include risk factors. If you are an options trader, then you need to carefully think about your moves. Generally, option trading has the potential for loss than trading stocks. So, that’s why the trader should be adept at market forecasting. Moreover, they should also create options contracts that can maximize the profit and in turn minimize the risk as well. Of course, these are all individual assist heads that OP can try with client services to maximize the revenue of trading.
How’s The Career As An Options Trader?
Now, we should also talk about being an options trader. First of all, it’s a very fast-paced career. Therefore, people who are good at multitasking will surely ace it. Apart from that, you also need to have sound communication skills. In addition, skills in finance, computer, and maths are also quite important in this field.
The OP working at big companies also have degrees in either business, finance or in similar fields. However, it’s undeniable that some of them are self-taught. In other words, they have gained experience with the stock market and investing.
As per the sources, most options traders earn up to 110k USD per year in the US. Moreover, it’s also worth noting that this field is only growing at a fast rate. For instance, the stats show us that by 2029, it will increase by 4% and produce 18k job opportunities.
Furthermore, there are a lot more things that make the job of an OP great. Did you know that an average trader makes around 58 dollars an hour? Yes, that’s about 120k per year if we do our maths right.
Now, let’s talk about the work of an OP. So, as per the sources, there are certain skills you need to possess to become a trader here. It’s a job of immense responsibility. You need to work and find out everything about the stock market. Thereafter, you also need to help your client. Thus, analytical skills, customer service skills, etc are essential.
How Do You Become An Options Trader?
We have already discussed some major points of being an option trader. But, it’s important to know how to become one. As per the sources, if you want to become an option trader, then there are certain things you need to consider. First of all, around 82% of the traders have a bachelor’s degree.
In terms of higher education, our research shows us that 11% of them have master degrees. Even though most of them have college degrees, we should note that it’s impossible to become an OP with only a high school degree. In fact, GED is not enough to become an OP as well.
Once you become an options trader, you will enjoy a hefty income. For instance, an average employee makes around 59 dollars per year. So, that makes it 121k USD per year. Moreover, the top OPs make around 196k USD per year as well while the bottom ones get around 75k USD.
Skills You Need To Become An Options Trader
It’s not that easy to become an options trader. You need to possess a proper degree and also some soft skills. In other words, the skill section of your CV is quite important if you wish to start a career as an Option trader. Therefore, accuracy is essential when it comes to making your CV. So, as per the sources, you need to possess soft skills such as analytical skills, customer service skills, communication skills, etc.