Steve Sarnoff's Secret to Turning $187.50 Into $1,700 in 3 Months

Imagine putting down $187.50 on an investment and getting back a $1,700 return in three months. If that sounds unrealistic, I’m sorry. That was an actual trade my readers could’ve made using a technique I call Superleverage.

Allow me to introduce myself. My name is Steve Sarnoff. You see, I have been helping people make money on options, with the Options Hotline for over 16 years now. But you could say that options have been in my blood since I was a child.

My father, Paul Sarnoff, gained international fame on Wall Street as a master of options and market intelligence. You may have read about him or seen him on the financial channels from time to time.

I worked closely with my father for many years, absorbing his vast knowledge and experience. He shared with me his secrets for making money that only a brilliant man with over 60 years’ experience in the financial markets could ever have. And over time, I built upon this incredible foundation with my own highly successful analysis and methods.

The example I used above, which resulted in a 838% gain, came directly out of my Options Hotline service. Each week, I tell subscribers about which option I think has the most explosive potential based on my personal technical expertise. And over the past several years, readers could’ve turned my advice into more than $1 million (with just $5,000 down) in less than five years. But I’m not writing this to brag. I just want to share the power and profit potential of options.

Before we go any further, we need to get into the nuts and bolts of option investing…

The Basics to the Most Lucrative Investment Strategy You’ve Ever Heard of

To understand option investing, you need to first look at the very basic idea of an option. When you buy an option, you are buying the RIGHT, but not the OBLIGATION, to buy or sell a specific investment at a set price within a set period of time. This gives ONLY option buyers the potential for unlimited gains with an always known and strictly limited risk.

I stop here because I want you to read that sentence carefully. It says everything you need to know about how an option works. “Financial instrument” means it is an investment—it can be bought and sold. Once you buy an option, you can resell it to another investor for a profit or loss.

An option gives you “the right to buy or sell a specific underlying instrument”… but not both. Every option on a security gives you the right to buy or sell 100 shares of the underlying investment. When you buy the option you must choose whether you expect to profit from a rise or fall in the price of the underlying instrument. If you expect the underlying instrument to rise, you buy a call. If you expect it to fall, you buy a put. You do not need to buy or sell the underlying instrument. In fact, you rarely buy or sell the underlying instrument at all. Most of the time you sell the option itself for a profit or loss.

“Within a set period of time.” That means the option has an expiration date. While it could be a matter of weeks, months or up to three years (called LEAPS), always keep in mind that if you don’t exercise your right in that given time, the option is worthless. Securities options last trade on the third Friday of their expiration month, with the actual expiration date being the subsequent Saturday, i.e., an April call expires on the Saturday following the third Friday in April.

I recommend options for stocks (securities), ETFs (exchange traded funds), and indexes that cover a myriad of market sectors (including stocks, commodities, interest rates, and currencies). Each week, I search the universe of thousands of stocks to find my subscribers the best opportunity to multiply their money in a short period of time with limited risk AT ALL TIMES. I encourage you to check out my Options Hotline service for more specific recommendations.


Steve Sarnoff
Editor, Options Hotline