SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Ascend (ASND) Traders
ASND 199.22+1.0%3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Emile Vidrine who wrote (214)9/20/1997 2:19:00 PM
From: Carl R.   of 369
 
Can you define a "covered put" please?

Would that be shorting the stock, then selling a put? Or is that putting a pile of cash aside to pay for the stock? <G>

These are naked puts. Selling March 60 puts is pretty much like buying the stock, except that I get cash instead of paying it out. In fact, if I buy some March 60 calls, I have the same position as if I buy the stock except that I still have cash and I don't get dividends (but there aren't any).

Carl
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext