With stock markets down sharply today,  what better time to  feature the views of investment author and blogger Mark D. Wolfinger. He believes “options are the best risk-reducing investment tools on the planet.”

Mr. Roy, a former Nortel Networks senior manager, did not realize he was headed for disaster when he exercised options on 5,000 Nortel shares at $50. It was the glory days when the shares were trading at $100 in the stock market, so his immediate gain was $250,000.

I’m reading a great book on stock options entitled The Rookie’s Guide to Options: The Beginner’s Handbook of Trading Equity Options, written by Mark Wolfinger. It looks like a textbook (a slim one) but don’t be scared off: it isn’t a dull or strenuous read at all – at least ...