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Shorting option
Posted by: Ghinsberg on Jun 17, 06:42
If i short say a Call Option, what will happen when it delist? I have searched but can't find anything so I would realy appreicate some help!
A. If it expire above strike.
Will I pay what i would have recieved of i were long, or will i just loose my intital investment?
B. If it delist below strike
The Call option will be useless, so will my profit be equal to my inital investment?
Shorting option Ghinsberg Jun 17, 06:42
A. you will pay what you would have received if you were long, so your losses are unlimited, B. your gains are only your initial investment {nm} jwammo Jun 17, 08:11
correct answers inside... RazorHawk Jun 17, 08:26
Every securtity delisting follows the same rules... Buy StarBond Fund 18 Jun 17, 08:29
Correction to B Buy StarBond Fund 18 Jun 17, 08:40
your correction is not complete.... RazorHawk Jun 17, 09:09
It's generally a good idea to never short calls or puts, unless you are certain of the outcome (which is VERY rare). -more- arf Jun 17, 10:06
So, to summarize? (Question not statement) elchan Jun 17, 11:05
correct {nm} RazorHawk Jun 17, 11:22
Thnx! {nm} elchan Jun 17, 13:30
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