WRITING CASH-SECURED PUTS


Meaning of WRITING CASH-SECURED PUTS in English

An option strategy to avoid using a margin account . Instead of depositing margin with a broker , a put writer can deposit a cash balance equal to the option exercise price , and can avoid additional margin calls .

Campbell R. Harvey. Hypertextual finance English glossary.      Английский словарь гипертекстовых финансов.