Selling secured puts

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Summary

Writing a put creates a bullish position that can be viewed as an income strategy or as a way to potentially buy a stock at a lower price. With choices in how the position is secured, traders can build trades with a variety of risk/reward profiles, including protection against a sharp move.

Speaker

Todd Rich
Senior Strategist, Investor Education, E*TRADE Securities LLC

Todd Rich is a Senior Strategist of Investor Education with E*TRADE Securities. Todd joined E*TRADE with the acquisition of OptionsHouse, where he was President of OptionMonster, an education and media entity. He’s had an extensive career in the financial industry, having been a market maker on the floor of the Chicago Board Options Exchange, and then migrating into working directly for the exchanges with stints at Eurex, BOX Options, and the New York Stock Exchange. He is well-versed in options trading as well as market structure. He has both a BA and MBA from UCLA, and he holds the FINRA Series 7 license and the NFA Series 3 license. Although having grown up in California, he now lives in Chicago with his wife and two sons.

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