Posts Tagged ‘Put’

Protective put- the basics

Protective put is a hedging strategy where the holder of a security buys a put to guard in opposition to a fall in the stock price of that security. This is also called put hedge. The Protective Put is also known as “puts and stock”, “married put”, or “bullets.” It is an ideal strategy for [...]

Trading Options

Option is a legal agreement between buyer and seller to buy or sell security at an agreed price in a certain period of time. It is quite similar to insurance that you pay an amount of money in order that your property is protected by the insurance company. The difference between these two is option [...]