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Frequently Asked Questions

About Options

1. What is option?
In layman term, option is similar to stock warrants except that the former is an exchange-traded financial instrument. However, options work entirely different from warrants from trading point of view. (Read article on What is Option? at the Learning Center).
2. Is option trading risky?
Option trading can be as risky as you want it to be. However, if it is done in a conservative and responsible way, it is less risky than trading stocks, futures, and real estates.
3. Is an options contract similar to a futures contract?
The simple answer is no. The only thing that looks similar is that they both have an expiration date. Futures do not have calls and puts.
4. How to trade option?
Options can be traded by buying calls/puts or selling calls/puts, or any combination of calls/puts. Options can also be combined with the underlying stocks or futures for better risk-reward advantage.
5. What is the normal return of option?
Returns on option vary from 2% to 1,000% in a few days to a year depending on the types of strategies used.
6. What is the minimum capital to start?
The optimal capital to start is US$10,000 but smaller amount is possible.
7. Which geographic market do you cover?
We only recommend US market at the moment.
8. What option markets do you cover?
Basic course will cover mostly equity (stock) options whereas advanced course will cover futures options. Nevertheless, all concepts can be applied in any market.
9. Which broker will I be using?
The stock option broker recommended is an online discount broker called interactivebrokers.com. The more user-friendly online broker is tdameritrade.com (formerly, thinkorswim.com).
10. Is online trading safe?
Online trading has become a way of life to trade any market in present days. Most online-trading sites are SSL secured.
11. Do I need to contact the broker?
Contacting a broker is not necessary but is available during business hours posted by respective brokers.
12. What is the time difference between Malaysia/Singapore/Hong Kong and the U.S.?
Contacting a broker is not necessary but is available during business hours posted by respective brokers.
13. Do I need to stay up throughout the night to watch the trade?
No, you don’t need to stay up to watch the trade. Your orders can be executed while you are asleep. In fact, the trading methods we recommend will take between a few days to one month to exit.
14. Do I need to study a lot to trade options?
Minimum understanding of the mechanics and methods of trading options is required. It is common for many successful option traders to adopt and stay with one or two methods. In this case, further study may be limited.

About Iron Condor Academy

1. What is the background of Iron Condor Academy?
Iron Condor Academy is founded by Foong Mun-Keong, options trader and strategist, who is passionate about options trading. The mission of this academy is to inform and educate the general public about a realistic approach to making money more consistently in trading. Most uninformed public equate options to other financial markets such as stocks and futures. It is NOT! Options are generally traded in non-conservative way and greatly profitable. There is no reason for anyone to miss out this opportunity. Iron Condor Academy teaches the conservative approach.
2. How is Iron Condor Academy different from others?
We acknowledge the power of time value decay (TVD) on option. Naturally, our strategies centered on the sell-side of the option trading or strategies that wholly or partially offset the detrimental TVD’s drag on our position.

It is also our objective to cover strategies that we are familiar with and battled tested. Each strategy is then studied and analyzed in detailed including the adjustment of trade to turn the loss in the prior position to profit again.

Iron Condor Academy does not sell any “mandatory” proprietary software or tools; however, it does recommend powerful software that is complementary to the course.

3. Does Iron Condor Academy offer direct investment – as in a fund – from the public?
No, Iron Condor Academy does not publicly offer and market any fund. All requests for direct investment are answered on private basis.
4. Can Iron Condor Academy provide assistance and guidance to invest in the U.S.?
You will be guided and introduced to U.S. brokers as part of the basic course program.
5. Is there follow-up guidance/support after the course?
It is part of the course program to offer free-of-charge, follow-up guidance and assistance in placing trades and in applying course knowledge to trade for 60 days. However, Iron Condor Academy is open to any student seeking non-obligatory help or guidance to clarify any issues related to trading without time limit. Group discussion and course support may be provided from time to time.
6. Is there an alternative to learn option trading other than attending the course?
It is recommended that all novices be familiar with the terminologies and mechanics of option before trading. By merely reading published materials may not be sufficient to begin trading successfully without firstly having to lose some money.

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Contact

Phone

+603 7848 5957
+6018 216 6211

Email

askme@ironcondor.com.my

Address

2 Jalan PJU 1A/7A, Level 7
Oasis Wing, Brunsfield Oasis,
Tower 3, 47301 Petaling Jaya,
Selangor, Malaysia