An option investor believes that the stock price of a


An option investor believes that the stock price of a company will have a big jump in the next 3 months. But he is uncertain about the direction of the jump. Which of following strategies should the investor take to profit from his belief?

a. sell a straddle

b. sell a strangle

c. buy a butterfly spread

d. buy a straddle

e. buy a bull spread

Request for Solution File

Ask an Expert for Answer!!
Financial Management: An option investor believes that the stock price of a
Reference No:- TGS01408834

Expected delivery within 24 Hours