Options and Futures

Uncovered put writing

A knowledgeable professor in finance would define a short put option as a position in which the writer does not hold a corresponding short position in the underlying security. This means that the writer has not deposited cash or cash equivalents equal to the exercise value of the put in a cash account. In simpler terms, this strategy is used to generate income from the premiums received without actually owning the underlying security.

Related terms

Uncovered call writing

Understand the meaning and definition of Uncovered call writing in the context of stock market, trading, and investments.

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Producer Price Index (PPI)

Understand the meaning and definition of Producer Price Index (PPI) in the context of stock market, trading, and investments.

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Runners

Understand the meaning and definition of Runners in the context of stock market, trading, and investments.

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Offer

Understand the meaning and definition of Offer in the context of stock market, trading, and investments.

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Adjusted Futures Price

Understand the meaning and definition of Adjusted Futures Price in the context of stock market, trading, and investments.

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