Fiscal Focus

Options Trading: High Risk, High Reward By Fiscal Focus | April 22nd 2025 In the world of investing, there’s a big difference between owning a stock and betting on where it might go next . That’s where options trading comes in, an advanced strategy that’s become increasingly popular among retail traders, especially with the rise of zero-commission apps. But while options offer big potential rewards, they also come with serious risks. What Are Options? At their core, options are c ontracts that give you the right, but not the obligation, to buy or sell a stock at a specific price (called the strike price ) before a set expiration date. There are two main types: Call Options : The right to buy a stock. Put Options : The right to sell a stock. For example, lets say you buy a call option on Apple with a strike price of $180 and an expiration in one month. If Apple rises to $200, you can buy it for $180 and pocket the difference, or sell the option itself for the $20 pr...

The Highs and Lows of Day Trading: Easy way to riches, or a trap? By Fiscal Focus | Apr 12th 2025 In the age of smartphones and real-time trading apps, buying and selling stocks has never been more accessible. That’s led to a surge in day trading —the fast-paced strategy of buying and selling stocks (or other assets) within the same day. For some, it looks like an easy way to financial freedom. For others, it’s a high-stress gamble.   What Is Day Trading? Day trading is the practice of making multiple trades within a single day , aiming to profit from small price movements in stocks, options, ETFs, or even crypto. Traders usually close out all positions by the end of the trading session to avoid risks overnight. Unlike long-term investing, where you hold onto stocks for months or years, day trading is about reacting quickly. It’s strategy-heavy, time-consuming, and incredibly volatile. One bad move can erase hours—or weeks—of gains. How It Blew Up Thanks to platforms lik...

Index Funds:  By Fiscal Focus | April 05 2025 When it comes to investing, flashy stocks and viral trades tend to steal the spotlight. But behind the headlines, millions of Americans are quietly building wealth with something far more stable: index funds . They don’t trend on news media or get hyped in Reddit forums(GameStop)—but they work. And if you’re serious about growing your money over the long run, index funds may be for you.  What Is an Index Fund? An index fund is a type of mutual fund or ETF (exchange-traded fund) designed to track a specific index of the market. Think of it as a basket of investments that mirrors a larger group, like the S&P 500 , which includes 500 of the biggest companies in the U.S. When you buy into an index fund, you’re not betting on one company. You’re investing in the entire market. That means you get diversification , lower risk, and exposure to industries across the board, all in one investment. Why People Trust Index Funds The...