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GREEKSVIEW — Options Risk Disclosure
Effective date: [DATE]
Options involve substantial risk of loss and are not suitable for all investors.
Prior to buying or selling an option, you should read the document
Characteristics and Risks of Standardized Options (the "ODD") published by The Options Clearing
Corporation, available at
theocc.com,
and any supplements thereto.
Key Risks
- Total loss: long option positions can expire worthless, resulting in loss of the entire premium paid.
- Unlimited loss: short (naked) call positions carry theoretically unlimited loss potential;
short puts can lose many times the premium received.
- Assignment & exercise risk: short options may be assigned at any time before expiration
(early assignment is common around ex-dividend dates), potentially creating stock positions and margin calls.
- Multi-leg complexity: spreads and combinations may be filled partially or at prices
materially different from quoted mid-points; legging risk applies.
- Liquidity risk: wide bid/ask spreads and low volume can prevent exiting positions at acceptable prices.
- Volatility & time decay: implied volatility changes and theta decay can move option
prices against you even when the underlying does not move.
- Model risk: analytics shown in GreeksView (GEX, IV rank, theoretical P/L, probability
estimates) rely on mathematical models and assumptions that may be wrong, delayed, or based on incomplete data.
- Technology risk: data delays, API outages, browser issues, or connectivity problems may
prevent order placement or cancellation when you need it most.
Your Responsibilities
- Verify the trading environment (PAPER vs LIVE) before every order.
- Review order details — symbol, side, strike, expiry, quantity, price — before submitting.
- Understand margin requirements and your broker's exercise/assignment procedures.
- Never trade with money you cannot afford to lose.
GreeksView is an analytics tool. Nothing in the Service constitutes investment, financial, legal,
or tax advice, or a recommendation of any security or strategy. Trading decisions are yours alone.
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