4 ms·
True, yet the downside is still limited. The worst case for the option seller (or writer) is that she has to buy an asset valued at zero for the pre-agreed stri
by pzs 9y ago
True, yet the downside is still limited. The worst case for the option seller (or writer) is that she has to buy an asset valued at zero for the pre-agreed strike price. That puts a cap on her loss.