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This is a general investing concept. It means that when you are seeking more reward, you will be taking on more risk. In most option trading strategies you can infer the risk/reward by analyzing how much money is at risk vs. what you can make if the trade is successful. At PowerOptions, we try to present our educational material and the tools on the site in a way that doesn't force investors into a certain trade because each trade has it's own risk/reward ratio; Each investor should decide what risk and reward they are comfortable with. There are people who use PowerOptions to make 10% per month, there [levosalbutamol] are others that use the site to make 1% per month. Each of these investors has a different risk/reward tolerance, which changes the strategies and therefore the trades that they look for on the site. An example would be with covered calls. If you trade an in-the-money covered call, you can find a trade that has 10% downside protection with a 1. 5% return if unchanged/assigned. This would be a lower risk and lower return trade. For that same stock levosalbutamol, you may find an out-of- the-money option that offers 0. Levosalbutamol 5% downside protection and 5% return if assigned. This would be higher risk and higher reward. Please let us know if you have any further questions, we are here all throughout the trading day and available levosalbutamol by email and phone if you would like some help getting the tools on the site working for you and your personal risk/reward tolerance.