Although option buyers theoretically have limited risks and unlimited returns, in fact option buyers still face many risks in daily transactions. Let’s come down and learn about it with the editor. What are the risks for option buyers? A high risk of volatility. The price of the option premium is much lower than the price of the underlying asset, but in the short term, the rise and fall of the premium will be similar to the rise and fall of the underlying asset, which is equivalent to a leverage effect on the premium. fluctuation. 2. The risk of the premium returning to zero. There are two main situations here. One is that when the market is unfavorable, large fluctuations occur and the premium returns to zero; second, without obvious fluctuations, the time value will still decay, which is also very high when the expiration date is approaching. It may be reset to zero. Three exercise date risks. What this mainly refers to is that on the expiration date of the option, the option rights position will forget to exercise the option, and at this time, all the premium will be lost in vain. The above are the main risks in option investment. For more information, please pay attention.