Naked Puts
Author | : Ernie Zerenner |
Publisher | : Marketplace Books |
Total Pages | : 0 |
Release | : 2008-02 |
ISBN-10 | : 159280330X |
ISBN-13 | : 9781592803309 |
Rating | : 4/5 (0X Downloads) |
Book excerpt: Are you ready for the secrets of a reliable, income-generating strategy in stock options? Then you are ready to learn about selling naked puts -- a conservative strategy that allows investors to earn premium on bullish and neutral stocks and acquire stock at a discount. You may have heard rumors that trading naked puts is risky, but these rumors are outdated; the reality is that naked puts have the same risk-reward tolerance as covered calls, one of the most conservative of strategies. The naked put position allows an investor to take advantage of a neutral to bullish market sentiment without actually buying shares of stock.