FIN 320- “Options Markets”
“Options Markets” Please respond to the following:
Justify why using options is an effective way to reduce the overall risk in a portfolio. Provide an example for your justification.
Determine whether you would or would not invest in the options market. Support your decision with two reasons.
An option gives the option holder the right/option, but no obligation, to buy or sell a security to the option writer/seller
for a pre-specified price (the strike price, K)at (or up to) a given time in the future (the expiry date )
An option has positive value.
Comparison: a forward contract has zero value at inception
We can write this or a similar paper for you! Simply fill the order form!
