How are trading stocks different from options ?

Options trading is very different from stocks.

• Options - Options have an expiration day within which you may trade in them. All options expire at the expiration date. Stocks have no expiration dates and can be held for many years. If you buy or sell the Nifty May 31 Option, it expires on May 31st. However, if your purchase Reliance shares, you can trade it anytime and keep it for many years.
• Delivery-In choices, there is no delivery. All transactions must be settled in cash. Stocks are delivered to your demat account. If you purchase an Option, and it is profitable on the expiration date, then you will receive the profit amount credited directly to your account. The underlying will not be delivered to you. Stocks: You will receive the traded stock quantity added to your account.
• Investment Capital:In these options, you only pay a fraction the trade's actual value. This premium is known as the premium. Stock trading requires you to pay the full value of the shares. You might want to trade 100 shares of SBI at Rs 280. Options trading allows you to purchase an SBI option for 100 shares at a premium of Rs 10, or less, depending on the strike price. Your investment capital would then be Rs 10 x 100 shares = Rs 1,000. You will need to pay Rs 2800 x 100 if you trade stocks.