options

How can investors generate returns regardless of which way the market moves? In today’s article, I review the unique process which Vega Capital uses to achieve this goal. Show More

This article intends to help investors understand the history of the LIC market that led to the innovation of LIC options, as well as the current LIC option market. It will furthermore provide a user guide should an investor own or wish to own LIC options. Show More

Ah currencies. Just how important are they? Many pretend to understand, but are quickly confused. Even US presidents. I particularly like this exchange between President Nixon and his Chief of Staff, Haldeman: Show More

As Peter Lynch once famously said “You get recessions, you have stock market declines. If you don’t understand that’s going to happen, then you’re not ready, you won’t do well in the markets”. Today I’m going to discuss some ways in which investors can protect their portfolios from downside risk. Show More

Many investors wouldn’t have touched Whitehaven Coal with a hazmat suit on. It was January 2016 and thermal coal had just hit US$47/ton. Under the weight of $925m of net debt, Whitehaven’s market capitalisation had fallen by almost 90%. Forager’s investment case at the time made the downside clear –... Show More

Drawdowns are an inevitable part of investing; even Berkshire Hathaway fell by more than 50% during the GFC. As growth investors, Nick Griffin from Munro Partners, says that it’s important to protect yourself both against stock specific risks, and market risks. Here, he explains their approach. Show More

We use derivatives across the majority of our portfolios to improve performance and / or to reduce portfolio volatility. They help us consistently beat the market over time and improve the overall flexibility within our portfolios. We are almost entirely ‘sellers’ of options, and the bulk of our transactions are... Show More

Implied volatility is now trading at record lows across a variety of asset classes, especially in US equities. This means that option markets are priced in the belief that the economic and political outlook in America and the world is as stable as it has been for more than 25... Show More

There was an excellent article on Livewire last week looking at some Listed Investment Companies (LIC) trading at a discount that offer good chances to profit for investors. Today, I offer another way that investors may not always consider: IPO investors to offer liquidity on the stock exchange. Show More

CommSec Market Analyst Steven Daghlian speaks with Omid Shakibaei CommSec Exchange Traded Options DTR about the Combination Buy Write strategy using Telstra as an example. Show More

CommSec Market Analyst Steven Daghlian speaks with Omid Shakibaei CommSec Exchange Traded Options DTR about the Long Ratio Call Spread strategy using QBE as an example: Show More

CommSec Market Analyst Steven Daghlian speaks with Omid Shakibaei CommSec Exchange Traded Options DTR about the Protective Put strategy using QBE as an example . The full report is available at https://www.commsec.com.au/content/dam/EN/ResearchNews/CommSecOptions_020217finala.pdf Show More

CommSec Market Analyst Steven Daghlian speaks with Omid Shakibaei CommSec Exchange Traded Options DTR about four options strategies covered in the most recent Options Report. Show More

One measure of expected turbulence, the relative cost of options that pay when stocks decline versus those that appreciate when they rise, jumped to the highest level ever recorded just before the S&P 500 Index buckled on Tuesday. The relative cost of hedging a 5 percent decline in an exchange-traded... Show More

CommSec Market Analyst Steven Daghlian speaks with Omid Shakibaei CommSec Exchange Traded Options DTR about the Buy-Write strategy Show More

The world is in a period of low growth and political uncertainty (Brexit, Hung Parliaments, Donald Trump et al.) Property as an investment class has performed well in this environment and is expected to continue to do so with lower interest rates and the largesse of central banks continuing to... Show More

Jason Teh, Portfolio Manager at Investors Mutual, says that options don’t have to be used for making leveraged bets on the direction of stocks. Instead, investors can use options as a way to generate income, while entering and exiting positions at an attractive price. “If we want to reduce our... Show More

CommSec Market Analyst Steven Daghlian speaks with CommSec Exchange Traded Options DTR, Omid Shakibaei about the Buy-Write strategy Visit CommSec https://www.commsec.com.au/market-news/the-markets.html Show More

For the last few weeks we have been calling the recent market strength as nothing but a short term counter trend rally, forecasting a bearish longer-term road ahead. A great indicator that a short term high is approaching is the recent moves on the CBOE Equity Put/Call ratio. As shown... Show More

At least one big trader believes we're going to see a large rise in volatility by April. The options world is abuzz over a massive purchase of VIX calls. To be specific, 40,000 April 22 calls were bought on the benchmark volatility index for a price of $1.28 each. That... Show More