Explain the tradeoff between collecting more premium and defining max loss with a spread.
comparison dialogue-thread score-chips Iris I Risk mentor 1 Compare premium 2 Name boundary 3 Choose fit The comparison 20 sec Credit vs boundary Evan can sell a naked put for $2.10 or a five-point put spread for $0.85. The spread pays less because it changes the downside boundary. $210
Sign up free — one personalized lesson every day, matched to your role and goals.
Already have an account? Sign in