Profitable Investment Strategy: Hedging with Options for 0 Risk
This article is a summary of a YouTube video "The 0 RISK INVESTMENT Through OPTIONS Strategy! (My Muhurat Investment)" by P R Sundar
TLDR The speaker shares their strategy of going long in the future market and using put and call options to hedge their portfolio and make a profitable investment.
The speaker shares a strategy he executed in his account after being asked by a friend during his first Hindi interview.
The speaker is bullish about the market and believes it will reach all-time highs in the next 12 to 18 months.
The speaker explains their strategy of going long in the future market and addresses the fear of potential losses if the market falls.
The speaker bought a put option for next year's December expiry and collected the premium by selling a far out of the money call option, with the belief that the market could go up to 21,000 and adjustments can be made if necessary.
The speaker made a profit of over eight lakh rupees by buying 10 Lots of future long and hedging the portfolio with a 17,000 put option.
The speaker made a profitable investment in put options, despite losing 5 lakh rupees, by selling call options to cover the initial cost.
The speaker sold a call option and plans to hold it until the market reaches a certain point, while also selling put options to cover losses.
Sold put options to recover losses, planning to update position in 1-2 months, best time for long-term options is Nov-Feb, will take trades and follow up with followers at conference.