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Put And Call Flashcards

(4 cards)

1
Q

Put short

A

PT = -max (x - St, 0)

= min (St - X, 0)

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2
Q

Put Long

A

PT = Max (X - St, 0)

= St _< X. : X - St
= St > X. : 0

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3
Q

Call Long

A

PT =max{ST −X,0}

= ST ≤ X : 0

= ST >X: ST −X

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4
Q

Call Short

A

PT =−max{ST −X,0}

= min{X−ST,0}

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