Buying put options: gives the buyer the right but not the obligation to sell his shares.

For e.g. an investor bought a company’s shares at $40/share and rises to $50/share. However he sees that the price has a chance of falling. He can use put options to hedge his long position. For instance, if he buys put options with a strike price of $48/share and the shares fall to $45/share, he can choose to sell his shares at $48/share by exercising the option or sell the put options for a profit. 💵📈💰💡
Tag a friend who invests 🙌
Follow @investing_tipsadvices for more 💎
(pic from Google)

8 months ago 4



  • city_moneyexchange
    You have some great shots in your gallery! I mean I liked them 😊 - 8 months ago
  • bfirst_apparel204
    Ruler us BF club. Take a glimpse my instagram page AS soon as possible - 8 months ago