One person could use one call option, one put option on the nd x. They could establish what people call a collar that expired at the end of 20 22. If the index declined by 15 % for that calendar year,. In this example, your capping your up id to finance downside protection. And people find that valuable. So let's pass forward. The hypothetical portfolio is still down, but the net impact is about a hundredd 85 thousand, or 12%. versus roughly 25 % on just outright exposure, no downside.
IN THIS EPISODE, YOU’LL LEARN:
01:42 - What futures and options are, and why they exist.
08:19 - Tips for investors wanting to utilize options in their investment strategy.
14:50 - How LEAPS can supercharge your investment returns for long-term investors.
14:50 - Why collar spreads are potentially attractive to investors.
27:58 - What volatility really means with some historical references.
31:26 - Why passive investors are inherently short volatility.
35:22 - What the VIX and VOLQ are and why they’re important.
And much, much more!
*Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences.
BOOKS AND RESOURCES
Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Kyle and the other community members.
Get in touch with Nasdaq options: indexoptions@nasdaq.com.
Learn more about volatility, the VOLQ Index and VOLQ index options here.
Explore the Nasdaq-100 Index and the Nasdaq index options offering here.
Test out Options Architect, a backtesting tool which allows users to test various options strategies during pivotal market moments.
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