BMO InvestorLine Options Analyzer FAQ
The BMO InvestorLine Options Analyzer is a powerful tool designed to help you make informed decisions when trading options. It offers in-depth analysis of single-leg and multi-leg strategies, allowing you to evaluate potential profit and loss scenarios, understand open interest, and analyze volatility.
Once you’ve identified an option strategy that you’re interested in – whether it’s from the Options Screener, Strategy Builder, or Options Chain – the Analyzer can help you evaluate the strategy in detail so you can proceed with confidence.
The Analyzer is conveniently located within various options tools on the BMO InvestorLine platform:
- You’ll find an “Analyze” button beside each strategy when viewing results from the Options Screener.
- Within the Strategy Builder, access the Analyzer from the 3-dot menu beside each strategy.
- In the Options Chain, click the chevron (arrow) next to the Bid or Ask price you’re interested in, then click the “ANALYZE” button.
The Analyzer is pre-populated with the strategy you selected. It displays:
- A quote for the underlying security.
- Your current holdings of shares or options contracts for that security.
- Key details of each leg in the strategy, including action (buy to open/sell to open), quantity, expiration date, strike price, and option type.
- For multi-leg strategies, you’ll also see a summary of the entire strategy. This summary shows the bid/ask prices for each individual leg, along with a final row labelled “Total” that displays the combined bid/ask for the entire strategy at the share level.
- A theoretical profit and loss chart for the overall strategy.
- Information such as maximum profit and loss, breakeven point, and probability of profit.
- Four different charts: Historical Volatility, Implied Volatility, Open Interest, and Volatility Skew.
Absolutely! You can edit various aspects of each leg, like the action, quantity, expiration, strike price, and option type. You can also add legs using the provided buttons or remove legs by clicking on the “X” beside each row.
- Pre-populated Strategy: The Analyzer starts with the strategy you selected from another tool.
- Search for a Security: Use the search bar to find a different underlying asset to analyze.
- Reset and Choose a Strategy: Click “RESET” and select a new strategy from the dropdown menu.
- Manually Adjust Legs: Remove or add option and equity legs as needed. You can have up to 2 legs in a strategy.
- Customize Leg Details: Change the specifics of each leg, such as expiration date and strike price.
- Once you’ve set up your strategy, the Analyzer calculates the theoretical profit and loss.
- You’ll see the per-share quote data for each leg, as well as totals based on the number of contracts.
- The charts (Profit and Loss, Volatility, Open Interest, Skew) will update to reflect your chosen strategy and underlying security.
When you’re ready to trade, click the “TRADE” button. You’ll see a pre-populated trade ticket with all the details of your strategy. Review the information, make any final adjustments, and click “SUBMIT” to place your order.
If you have any questions or need further assistance, click on the “LEARN MORE” button located in the top-right corner of the screen. You can also access other walkthrough videos in the BMO InvestorLine Education Hub.
- Options are not suitable for all investors. Investing in options carries substantial risk and tax consequences. Investors may realize losses on any investments made utilizing leverage. Future returns are not guaranteed, and use of leverage may magnify trading losses.
- If you have additional questions, please contact BMO InvestorLine support.