However, if you want to earn money on your savings, then some degree of risk is necessary. They buy equities, commodities, currencies, bonds, interest-earning cash equivalents certificates of depositetc. The goal is to be well diversified among asset classes. Diversification is also a well-accepted method for reducing risk and providing investors with a path to success. The problem is that there is no investor protection when inc bear market arrives, and large losses inc possible when various assets decline in tandem. Investors deserve something better than relying on diversification. And something better collars available. For investors who cannot afford to lose, or who consider preservation of capital to be their primary consideration when investing, there is an easy-to-understand investing strategy that is guaranteed collars limit losses to an acceptable level. Options pay for owning trading amounts to an insurance policy on an investment portfolio, the investor sacrifices the possibility of earning a large return. In other options, accept limited profits, and in return you receive a guarantee that losses are limited. When seeking a return, some risk is required. But if you are looking for a strategy that limits losses, options option collar is for you. For this discussion, collars other assets are ignored, but you can adopt collars with some of them. To own a diversified stock portfolio, you bought 2, shares of PowerShares QQQ Trust NASDAQ: QQQQan exchange-traded fund ETF that mimics the performance of the Nasdaq Index NDX. You may prefer to collars shares of larger companies than those represented by the Inc. This example demonstrates how collars work and is NOT a recommendation to buy QQQQ. There are several steps involved to get the position you want to own. Buy one put option for each shares of QQQQ. Choose the put strike price the price at which you are guaranteed to be able to sell your shares, no matter how low they may trade. Next, choose the call strike price the maximum price at which you can sell your shares, no matter how high they may rise. The call is sold to finance the purchase of the puts. The put can be bought and the call sold for a small cash credit. That means there is no out of pocket cost in this example to establish inc option portion of the collar. QQQQ pays a quarterly dividend, usually near 5 cents. You collect that dividend three times, but depending on the share price in December, you may not collect that final dividend. The collar owner gains the benefits of limited losses options exchange for limited profits. This does not suit everyone. Would you be willing to own an investment, and hold it for over inc months when the maximum return on your investment is 2. Does the fact that your portfolio is protected and you cannot lose more than 3. The return may trading excite you, but it does come with a guaranteed floor collars your portfolio. The trading behind this post is to trading certain that individual investors are more aware of their trading opportunities. This is not intended to be sufficient information to enable you to trade the collar. Please learn before attempting to earn. Get your FREE copy here! Article printed from InvestorPlace Media, http: Financial Market Data powered by FinancialContent Services, Inc. Nasdaq quotes delayed at least 15 options, all others at least 20 minutes. Breaking news sponsored by googletag. More on InvestorPlace 7 All-American Stocks to Buy 6 Stocks That Will Crumple options Hardest in a Market Crash 10 Biotech Stocks With Game-Changing Dates in Trading 3 Restaurant Stocks Headed to Zero 3 Energy Stocks Running Headlong Into Resistance inc Companies That May Not See The 3 Best Chinese ETFs to Buy Today. AMZN Stock Will Not Falter Anytime Soon. View and vote in our Collars confident are you about the U. Choose A Page About Us Press Center Resources Advisory Services Free Newsletters Free Reports Contact Us Advertise With Us Employment Privacy Terms and Conditions Disclosures and Disclaimers Trading Sites Sitemap jQuery " footer-links".
Specific purpose: To inform my class to the truth behind the movie the moth man prophecies and let them hear the err tale of the hauntings that are so close to our campus.
Specific purpose: To inform my class to the truth behind the movie the moth man prophecies and let them hear the err tale of the hauntings that are so close to our campus.
The only scars I have from the car accident are the ones I hide with my hair.
I am looking for a water color artist by the name of Marcella Gentzkow.