An investor would sell a put option if their outlook on the underlying was bullish and would sell a call option if their outlook on a specific asset was bearish.
Every investor loves to talk about profits, but the best traders talk about protection. That’s the heart of hedging: managing risk before it manages you. In his video How to Hedge Your Portfolio with ...
As an options broker for 15 years, I bought plenty of put options for customers aiming to hedge a long-term portfolio of stocks like SPY. From cursory account encounters, and in many instances, these ...
Options trading can be complex, and the trading jargon may confuse even experienced investors and traders. Two of the most common options contracts to understand are call and put options. Here’s what ...
The thesis for this article is already captured in the title. In the subsequent sections, I will argue why the combination of elevated P/E ratios for the overall equity market and muted level of ...
Trading options can be a complicated process as a lot of options strategies are available and traders need to evaluate all of the possible routes ahead of executing a trade. The beauty of options ...
I'm a fan of YieldMax, but I am quick to point out something I don't think enough investors realize. Or, more disturbingly, don't want to realize. Because it would burst the confidence bubble they ...