Facts: Calls & Puts are usually leveraged around 5-10x (500% - 1000%) depending on the price of the option set by market makers. 

2. A Country with 200%+ or more long-term debt / GDP would be considered a high risk leveraged country. 

3. A Country with 5-70% of long-term debt/GDP would be considered safe leverage. 

4. A Call option with a 500% leverage would be 2x the amount of a high-risk country and 10x the amount of a safe leverage. 

5. Puts are sometimes used to collar (lock) profits on temporarily locked(non-sellable) long equity stock positions which is considered a very good usage of Puts. 

6. Time decay decreases the value of the option every day to 0 value in a 2-year period or its contract length. 

7. Bid/Ask option spread prices will amount to over 10% of the option costs. Bid/Ask equity spread prices amount to 0.05-0.5% of the equity costs. A difference of 20-30x! 

8. An Acquiring company who wants to purchase a target publicly listed company can purchase calls to control stock equity without filing schedule 13d (this is not SEC legal). 

Analysis: Don't use Calls in long term investing or short term investing because High Risk Leverage is DETRIMENTAL to accounts. This cannot be repeated enough. Leverage destroys accounts!   

Calls can be used to control stock equity where the end result is acquisition of the entire company, remember to file 13d if ownership is over 5%. Only use Puts to collar in profits on your company stock options.