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2 votes
0 answers
103 views

What are some good books to get started with option theory? [duplicate]

Recently graduated in econometrics but starting to realize my knowledge is limited. Any and all tips are welcome!
Max van Leeuwen's user avatar
0 votes
1 answer
70 views

Is it possible to use options to increase the yield of a dividend paying stock?

I was wondering if it is possible to use call options (selling call options) to increase the yield of a dividend-paying stock (that I already own) by 1-2 percent per year? What are the cons of this ...
gyurisc's user avatar
  • 101
0 votes
1 answer
246 views

To Collar or not to Collar

I have a conundrum. I have a stock that has had considerable price appreciation over the past year. Well over 100%. I no longer see any factor (or fundamentals) supporting it's current price (in the ...
zatbusch's user avatar
  • 131
0 votes
1 answer
116 views

How to calculate ROI on a net credit option transaction?

If I have an option that has a net credit and results in a positive expected value (based on my own estimates of volatility), how do I calculate an ROI in order to compare with a net debit credit ...
user548084's user avatar
2 votes
2 answers
275 views

Analysis of exercising a call option early

Most options traders sell their call options early instead of exercising them, as you would make a bigger profit this way due to being able to salvage some remaining extrinsic value. For example: ...
Wayne's user avatar
  • 21
2 votes
4 answers
3k views

analytic formula for the value of an American put option

It seems to be a foolish question but I can't take my mind off from , Is it true that there is no analytic formula for the value of an American put option on a non-dividend-paying stock (or a divident ...
Roozbe's user avatar
  • 323
0 votes
3 answers
266 views

Are "American" option strategies traded OTC?

Is there such a thing as an American butterfly spread? For a European butterfly spread simply buying 1 put with strike price X+a, 1 put with strike price X-a and shorting 2 calls with strike price X, ...
Koen Rijks's user avatar