This video delivers five essential options fundamentals in just five minutes, providing a rapid yet clear overview of key concepts that form the backbone of options trading. It’s perfect for getting a fast grasp of terminology and strategic thinking.

You’ll learn:

• The difference between calls and puts and the rights they confer

• How long and short positions function and generate profit/loss

• What in-the-money, at-the-money, and out-of-the-money mean

• The importance of expiration date and strike price in value

• How volatility impacts option pricing and trader decisions

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Options basics, calls & puts, option moneyness, expiration vs. strike, volatility impact

This video explores the fundamental differences between long and short positions in options, helping viewers understand the contrasting roles and responsibilities in options trading. It clarifies the distinct profit/loss mechanics and highlights strategic considerations for each.

You’ll learn:

• How long options (buying calls and puts) work and what drives profit

• How short options (writing calls and puts) expose traders to risk and generate income

• The different risk/reward profiles and margin requirements for long vs. short positions

• Real-world examples illustrating payoffs and obligations for each side

• Common pitfalls and misconceptions about directional bias and assignment risk

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner to Intermediate
📈 Topics Covered: Options mechanics, directional strategies, payoff diagrams, risk management, margin concepts

The intrinsic value of a call option measures how far the market price of a stock exceeds the option’s strike price. This video explains how to identify in-the-money call options, calculate their intrinsic value, and apply the concept under exam conditions.

You’ll learn:

• How to calculate intrinsic value for call options

• What makes a call in-the-money, at-the-money, or out-of-the-money

• The role of strike price vs. market price

• The difference between intrinsic value and time value

• How exam questions typically test this concept

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Options pricing, intrinsic value, call strategy, strike price vs. market value

The intrinsic value of a put option represents the amount it’s in-the-money—how far the strike price is above the current market price of the underlying stock. This video simplifies the concept and shows you how to apply it accurately on exam questions.

You’ll learn:

• How to calculate intrinsic value for put options

• The relationship between strike price and market value

• What makes a put in-the-money, at-the-money, or out-of-the-money

• How intrinsic value differs from time value

• Common exam setups that test this concept

📘 Related Exams: SIE, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Options pricing, intrinsic value, in-the-money definitions, put option strategy

Options hedging strategies are designed to protect existing stock positions against adverse market movements. This video breaks down how protective puts and protective calls work, helping investors reduce downside risk while staying in the market.

You’ll learn:

• How protective puts hedge long stock positions

• How protective calls hedge short stock positions

• Risk/reward tradeoffs and breakeven points for each strategy

• When hedging is appropriate based on investor goals and market outlook

• How to recognize these strategies in exam scenarios

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options hedging, protective puts, protective calls, risk management, investor suitability

A protective put strategy is used to hedge a long stock position by purchasing a put option. This video explains how investors use this strategy to limit downside risk while maintaining upside potential—and how to break it down on exam questions.

You’ll learn:

• How protective puts are structured and why they’re used

• Risk/reward profile, breakeven point, and maximum loss

• When a protective put is most appropriate based on market outlook

• How to distinguish protective puts from speculative put purchases

• How this strategy appears in suitability and math-based exam questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options hedging, long stock protection, protective puts, breakeven math, risk management

In this video, we break down the protective call strategy, a key hedging tactic used by investors with short stock positions. This strategy is part of a broader exam focus on utilizing options for risk management.

You’ll learn:

• Hedging strategies and why investors utilize them

• How to identify protective call

• How it hedges a short stock position by limiting upside risk

• The risk/reward profile and breakeven calculation

• A reliable system for solving math-based exam questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
🛡️ Topics Covered: Short stock hedging, buying calls, breakeven math, protective vs. income strategies

Options income strategies are designed to generate consistent cash flow by selling options against existing positions. This video explains how investors use strategies like covered calls and cash-secured puts to boost returns while managing risk.

You’ll learn:

• How covered calls generate income from long stock positions

• How cash-secured puts are used to earn premiums while waiting to buy

• Risk/reward profiles and breakeven calculations for both strategies

• When each strategy is appropriate based on market outlook

• How these income strategies appear in exam scenarios

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options writing, covered calls, cash-secured puts, premium income, suitability

A covered call strategy involves selling a call option against a long stock position to generate premium income. This video explains how the strategy works, when it's appropriate, and how to break down its risk/reward profile for exam scenarios.

You’ll learn:

• How covered calls are constructed and why investors use them

• Maximum gain, breakeven point, and risk exposure

• The ideal market outlook for using this income strategy

• How to distinguish covered calls from similar strategies on the exam

• How to solve typical questions involving option writing and suitability

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options income strategies, covered calls, risk/reward, suitability, options math

A covered put involves selling a put option while holding a short stock position. It’s an income-generating strategy used when an investor believes the stock will remain flat or decline slightly—but comes with substantial risk if the market moves against them.

You’ll learn:

• Generalities of income-based strategies

• How covered puts are constructed and why they’re used

• Risk/reward profile, breakeven point, and maximum gain/loss

• A reliable system for solving math-based exam questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options income strategies, short stock mechanics, risk profiles, breakeven math

In this video, we break down the long straddle—a popular advanced options strategy used by investors who expect significant price movement (volatility) but are unsure of the direction. It’s a high-potential, high-risk strategy that aggressive investors commonly employ.

You’ll learn:

• What a long straddle is and how to construct one

• The market outlook and when investors use this strategy

• Risk/reward profile, breakeven points, and maximum gain/loss

• A reliable system for solving math-based exam questions

📘 Related Exams: Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate-Advanced
📈 Topics Covered: Long calls and puts, straddles, volatility trading, breakeven calculations, exam math

In this video, we break down the short straddle—a powerful income strategy that also carries significant risk. This strategy is part of a broader category of advanced options strategies, so understanding it will sharpen your grasp of risk, reward, and volatility analysis—all key skills tested on FINRA and NASAA exams.

You’ll learn:

• What a short straddle is and how it’s constructed

• When an investor would use this strategy

• Risk/reward profile, breakeven points, and maximum gain/loss

• A reliable system for solving math-based exam questions

📘 Related Exams: Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate to Advanced
📊 Topics Covered: Short calls and puts, straddles, volatility strategies, breakeven math, maximum gain/loss scenarios

Naming an options spread correctly requires understanding how the position is built and what the investor is trying to achieve. This video gives you a clear, repeatable system to identify and name any spread—without second-guessing.

You’ll learn:

• How to determine if the spread is a debit or credit

• Recognizing bullish vs. bearish spreads

• Understanding vertical, horizontal, and diagonal structures

• The dominant leg concept and naming conventions

📘 Related Exams: Series 7, Series 9
🧠 Skill Level: Intermediate
📈 Topics Covered: Options spreads, strategy identification, investor intent, multi-leg position analysis

Options spread strategies involve simultaneously buying and selling options of the same type to limit risk and define reward. This video walks through the major spread types, helping you identify structure, direction, and profit potential with clarity and confidence.

You’ll learn:

• The difference between debit and credit spreads

• How to determine whether a spread is bullish or bearish

• Vertical, horizontal, and diagonal spread structures

• Breakeven, max gain, and max loss calculations

• How to approach multi-leg options questions on the exam

📘 Related Exams: Series 7, Series 9
🧠 Skill Level: Intermediate to Advanced
📈 Topics Covered: Options spreads, risk/reward, directional strategies, breakeven math, multi-leg trading

Options taxation is a tricky area for exam candidates, especially when dealing with expiration, exercise, and closing positions. This video breaks down exactly how gains and losses are realized for both buyers and sellers—so there’s no confusion on test day.

You’ll learn:

• Tax treatment for exercised, expired, and closed-out options

• How long-term vs. short-term gains apply to calls and puts

• What happens to premiums in different closing scenarios

• Special considerations for option writers (sellers)

• IRS rules that frequently appear in exam questions

📘 Related Exams: Series 7 and Series 9
🧠 Skill Level: Intermediate
💰 Topics Covered: Capital gains/losses, expiration vs. exercise, IRS rules, taxation of options buyers and sellers

Taking a licensing exam at a Prometric test center can feel stressful if you don’t know what to expect. This video offers practical advice to help you stay calm, focused, and fully prepared—from check-in procedures to test-taking strategies under pressure.

You’ll learn:

• What the Prometric check-in process looks like (ID, lockers, security)

• What to bring—and what not to bring—on exam day

• How the test interface works and how to use scratch paper effectively

• Time management strategies and mental resets during the exam

• How to stay calm and stay sharp throughout the testing experience

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Test day logistics, Prometric procedures, exam mindset, performance strategies

When executing trades, firms can act in an agency or principal capacity—each with different roles, responsibilities, and compensation structures. This video explains how to distinguish the two, both in practice and on exam questions.

You’ll learn:

• What it means to act as an agent vs. a principal

• How firms earn compensation: commissions vs. markups/markdowns

• The disclosure requirements for each capacity

• How these roles impact client relationships and trade execution

• How to quickly identify agency and principal roles in exam scenarios

📘 Related Exams: SIE, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner-to-intermediate
📈 Topics Covered: Trade execution, firm roles, commission vs. markup, customer disclosures, regulatory rules

This episode of The Basic Wisdom Podcast provides step-by-step guidance on creating a successful and sustainable study plan for professional exam prep. It breaks down study habits and scheduling strategies proven to boost retention and reduce stress.

You’ll learn:

• How to structure a study plan that aligns with your exam timeline

• Effective study habits like spaced repetition and active recall

• How to identify and focus on weak areas

• Techniques to track progress and adjust your strategy

• Methods to stay motivated and avoid burnout

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 63, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Study planning, time management, exam strategy, retention techniques

Total return is a comprehensive measure of an investment’s performance, accounting for both income and capital gains. This video shows how to calculate total return and interpret what it tells you about portfolio growth over time.

You’ll learn:

• The formula for total return and when to use it

• How dividends, interest, and price appreciation factor in

• Common exam-style questions and how to solve them step-by-step

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Beginner-to-intermediate
📈 Topics Covered: Return calculations, investment performance, total return formula

The bid-ask spread represents the difference between what buyers are willing to pay and what sellers are willing to accept. It’s a fundamental part of trading that reveals liquidity, market sentiment, and transaction costs—making it essential for both investors and exam-takers to understand.

You’ll learn:

• What the bid & ask represent in a market quote

• How to calculate the spread and interpret its size

• The role of market makers and how they profit from the spread

• How bid/ask dynamics affect order execution and pricing

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Quotes, liquidity, trading costs, market maker roles, spread interpretation

A market order is the simplest and fastest way to buy or sell a security, prioritizing speed over price. While execution is virtually guaranteed, the final price can vary—making this order type efficient but unpredictable during volatile conditions.

You’ll learn:

• How market orders work and when they’re typically used

• The benefits and risks of prioritizing execution over price

• Why market orders are often used for liquid securities

• How this order type is tested in trading scenario questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Beginner
📈 Topics Covered: Order types, execution timing, price risk

A buy limit order allows an investor to purchase a stock only if it falls to a specified price or lower. It’s a tool for gaining entry at favorable prices without chasing the market—and a common topic on exam questions about order execution logic.

You’ll learn:

• How buy limit orders work and when they’re used

• Why these orders might never be filled

• How price movement affects execution eligibility

• Exam traps related to timing, order priority, and price conditions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Beginner-to-intermediate
📈 Topics Covered: Limit orders, price execution, investor strategies, order type comparison

A sell limit order is used to sell a security at a specified price or better, but only if the market moves up to meet that price. This video explains how the order functions, when it gets executed, and why it’s commonly used to take profits.

You’ll learn:

• How sell limit orders are placed and executed

• Why these orders may never fill if the price isn’t reached

• Practical use cases for profit-taking strategies

• How this order type is tested on licensing exams

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Beginner-to-intermediate
📈 Topics Covered: Order types, execution conditions, profit targets

A buy stop order is triggered when a stock rises to a specified price, converting into a market order to buy. It’s a common tool for entering positions on protecting short stock positions or technical breakouts, but its use comes with execution risks once triggered.

You’ll learn:

• How a buy stop order works and when it triggers

• Why investors used buy stop orders to protect short stock positions

• How buy stops are used to confirm upward momentum

• Execution risk and price slippage after the trigger

• How this order type appears in exam questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Order entry types, breakout strategies, market vs. limit orders, execution logic

A sell stop order is designed to trigger a market sell if a stock falls to a specified price. It’s a risk-management tool used to limit losses or protect gains—but can introduce execution uncertainty once triggered. This video breaks it all down clearly and concisely.

You’ll learn:

• How a sell stop order is structured and when it activates

• Why investors use this order in a declining market

• Why execution is not guaranteed at the stop price

• How these orders are framed in exam questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Order types, stop order logic, downside protection, execution risk

Buy stop limit orders are commonly used by investors for hedging (protecting) short stock positions. We’ll walk through visual examples and step-by-step scenarios to help you understand when the order activates—and why it may not execute.

You’ll learn:

• What a buy stop limit order is and how it functions

• The difference between buy stop, buy limit, and buy stop limit orders

• Stop price, limit price, trigger, and execution rules

• When investors use this order

• How to solve test questions, including those designed to trick you

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Order types, buy stop vs. buy limit, execution logic, trading strategies, investor protection

Sell stop limit orders are commonly used by investors for hedging (protecting) long stock positions. We’ll walk through visual examples and step-by-step scenarios to help you understand when the order activates—and why it may not execute.

You’ll learn:

• What a sell stop limit order is and how it functions

• The difference between sell stop, sell limit, and sell stop limit orders

• Stop price, limit price, trigger, and execution rules

• When investors use this order

• How to solve test questions, including those designed to trick you

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Order types, sell stop vs. sell limit, execution logic, trading strategies, investor protection

Margin equity represents the investor’s actual ownership value in a margin account and plays a critical role in determining buying power and maintenance requirements. This video walks through how equity is calculated and applied in both long and short margin scenarios.

You’ll learn:

• The definition of equity in long vs. short margin accounts

• How to calculate equity in margin accounts

• How equity is affected by market movements and debit/credit balances

• Common pitfalls to avoid when answering equity-related questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate to Advanced
📈 Topics Covered: Combined equity formula, margin account analysis, long vs. short positions, exam-based scenarios

Minimum maintenance is the required equity investors must maintain in margin accounts to avoid a margin call. This video breaks down the rules, percentages, and math used to determine whether an account meets minimum equity standards after market movement.

You’ll learn:

• Requirements for long and short positions

• Maintenance and Regulation T calls

• Exam-style scenarios to test your understanding

• The importance of equity percentage in margin accounts

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Regulation T, maintenance calls, long vs. short positions, margin calculations