Terms Beginning With 'n'

Naked Call

  • January 02, 2020
  • Team Kalkine

Naked call strategy consists of writing an uncovered call option and is sometimes referred to as an uncovered call or a short call. Naked call is an options strategy wherein an investor writes/sells the call options on the open market without owning the underlying stock. The investor strategises to write the call, in anticipation for the option to drop value over the time and sooner or later expire out-of-the-money.

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