The breakeven point on the maturity date is "strike price-option premium".
If the held option becomes a real option or a virtual option on the expiration date (that is, the price of the subject matter exceeds the strike price), the biggest loss for investors is the premium paid when purchasing the option, that is to say, the risk is locked. However, investors' profits will increase with the decline in the price of the subject matter.
Profitability conditions: the premium price before the expiration date should be higher than the premium price at the time of purchase, and the intrinsic value of the expiration date right (the exercise price of the option-the target price) should be higher than the premium price at the time of purchase.
Strategic characteristics: When the expected target price falls, the leverage effect is the biggest among all available investment strategies (for example, relative to the establishment of short futures positions). Generally speaking, the buyer's yield of options can be as high as 200%-300%. However, if the investor holds the option until the maturity date and the option becomes a flat option or a dummy option, then the option will lose all its value and even the initial capital cannot be recovered, which should be noticed.