Naked Options
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I need help doing the following problem, I got the other parts, but can't get this:
What are Naked Options? Do you think that naked options are more of an investment or purely used for speculation? (Support Answer)
Just need a small paragraph explanation and source. Thanks!
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Solution Summary
The naked options are examined. The expert determines if they think that naked options are more of an investment or purely used for speculation.
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First, let me explain to you what an option is.
A call option is a contract on the stock (or commodity) where the buyer of this contract can, at anytime before the expire date, buy a predetermined amount of shares at a predetermined price (the price is determined at the time when the option is sold).
A put option is a contract where the buyer has the ...
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