Protective put · TradersWeek

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Output: Research filter
Input: Account equity, volatility, stop distance and exposure
Horizon: Before entry and throughout the position
Best use: Keep a loss or exposure decision bounded before a trade is placed.

Input: Account equity, volatility, stop distance and exposure.
Output: filter.
Use boundary: Keep a loss or exposure decision bounded before a trade is placed.

The graph5

How the method is built, and where it has been read

Depends on

Often reviewed together

Implied volatility analysis4 readings

Often reviewed together

Margin management4 readings

Often reviewed together

Protective collar6 readings

Often reviewed together

Covered call writing6 readings

Often reviewed together

Option spread7 readings

Read in the archive24 of 53 readings

1984A long silver put as a prepaid loss capOptions and volatility 1987Write the exclusion zone, then choose the structureOptions and volatility 1988Two-sided cheap premium, volatility, and protective putsOptions and volatility 1991Synthetic stock and protective put payoff constructionOptions and volatility 1991Precommit scale-outs and puts to replace impulseDecision process 1991Option deductibles that bound position riskOptions and volatility 1992Portfolio beta overlays with index futures and putsPortfolio construction 1993Keep a futures loss bounded when stops failOptions and volatility 1994When standing puts fail the drawdown testDrawdown and survival 1994Even-money call spread after a stop-limit gapOptions and volatility 2000Compare a Protective put and a Stop-loss order before entryStops and loss limits 2002Rebuilding a long-stock book with calls, puts and collarsOptions and volatility 2003Implied-volatility regimes, straddles, and protective putsOptions and volatility 2004Option loss pacing with spreads and protective putsOptions and volatility 2004Constructing protective collars and reading cheap premiaOptions and volatility 2006Protective collar, net delta, and implied volatilityOptions and volatility 2006Oil proxies, volatility regimes, and bounded overlaysOptions and volatility 2007A job-first audit of commodity options in a futures bookOptions and volatility 2007Sizing options by assignment, spread legs, and portfolio marginOptions and volatility 2007An index put as deductible insurance for an active stock bookOptions and volatility 2007Fund a put-hedged long by remaining package lossSizing and leverage 2007Cash-secured puts, assignment risk, and post-entry overlaysOptions and volatility 2007Interest as a sizing filter on collared stockOptions and volatility 2008Seasonal regimes, index put overlays, and call-spread mechanicsSeasonality and regimes

This registry entry describes a research method. It is not investment advice and does not make a performance claim.