You buy 50 out of the money call options at $20 apiece - a real gamble. The stock soars and you want to sell your options. The bid price is $4, and that means you can collect $40,000. Nice trade. But, the person who sold the calls to you has gone broke. There is no way he can honor the contracts he sold to you. Where do you stand?

I have $40,000 in my account.
I'm out of luck and angry. My $40,000 has vanished
I don't know. Maybe the CBOE can help me get my money
 
 
Total Votes : 62