A protective put (a.k.a. "married put") is used to hedge against losses on an existing stock position. This strategy is typically employed when the investor remains bullish on the long-term ...
It’s not very often that Walmart (WMT)options have the highest Vol/OI ratios, but that happened in Wednesday trading, with ...
A Protective Put Option is one such Options trading strategy. Protective Put is an options trading strategy designed to limit losses in an adverse situation. It includes holding a long position ...
You may already be familiar with the use of protective puts to hedge long stock positions. Essentially, a cautious bull will purchase one or more put options against an existing portfolio holding ...
He also thinks it will go down, so he buys a put to protect his investment. This strategy is known as a protective put or a married put. His strike price is $50, and he pays $1.50 per share as a ...
Using options contracts such as a protective put is a viable alternative to limit losses. Options can be more finely tuned and customized but they may also come with extra up-front costs.
Interest rate floors are similar to caps in the way that puts compare to calls: They protect the holder from interest rate declines. End users can trade floors and caps to construct a protective ...
DIY option income strategies, including selling PUTs and using protective PUTs, can enhance safety and establish capital buffers. Investors must be cautious of SOXL's high volatility and leverage ...