Put-Call Parity
Meaning ⎊ A no-arbitrage principle linking the prices of put and call options to the underlying asset and strike price.
Options Writing
Meaning ⎊ Options writing is the act of selling derivatives contracts to generate immediate income by monetizing volatility, accepting a defined or potentially unlimited risk.
Put Option
Meaning ⎊ A contract granting the right to sell an asset at a set price, used to hedge against or speculate on downward price movement.
Long Put Spreads
Meaning ⎊ A Long Put Spread is a defined-risk bearish options strategy that uses a combination of long and short puts to reduce premium cost and cap potential losses in volatile markets.
Assignment Risk
Meaning ⎊ The risk that an option writer is suddenly required to fulfill their contract obligations upon exercise by the holder.
Put Option Strategies
Meaning ⎊ Put options function as decentralized insurance, enabling precise risk mitigation and capital management without liquidating underlying positions.

