正文

請各位zhijiaoQuestion about put writing and interest rate

(2007-12-06 16:59:57) 下一個
There is a stock with current price at about 5 and January 2009 10 put at 7.2. Let\'s see I write 100 contract and get 72K cash into my cash and money market account. The question is

1). Will the 72K generate interest for me?
2). As I shorted 72K value of put, will I need pay for the interest?

I really like the stock but don\'t want to buy it directly. The risk/return is good to me but I am not sure about the interest and fees as this is deep in the put to write? Thanks in advance.
[ 打印 ]
閱讀 ()評論 (1)
評論
volplayer 回複 悄悄話 1. yes. 2. no.
you need $25k in margin a/c or $100k in cash account.
登錄後才可評論.