Buying an in-the-money option will almost always produce a profit.

Question

Quizplus · Accepted Answer

Buying an in-the-money option does not always guarantee a profit. The price paid for the option and the difference between the strike price and the current market price, also known as the option's intrinsic value, must be taken into consideration. Additionally, the cost of commissions and fees and the time decay of the option can also impact the potential profit or loss.

Buying an In-The-Money Option Will Almost Always Produce a Profit