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Long puts don't need collateral. Since he said "BTO" instead of "STO", naked or not is not applicable.
by DarmokJalad1701 6y ago
Long puts don't need collateral. Since he said "BTO" instead of "STO", naked or not is not applicable.
- edoceo 6y agoBTO = Buy to Open (open the position) STO = Sell to Open When selling calls, you want to hold the underlying, else you're naked. When selling puts your coverage is cash