4 ms·
Would you still want to buy put options? Who would sell them to you?
by tedunangst 6y ago
Would you still want to buy put options? Who would sell them to you?
- leetcrew 6y ago> From a lay-person's perspective, short selling seems pretty horrible this person is probably not trading options.
- valuearb 6y agoWithout short sales, could Put options even exist?
- mikestew 6y ago"My put contract says that you have to buy my FooBar shares at $X, despite the last sale price being $Y and $X > $Y." I thought that FooBar would drop down to at least $Y, that's why I bought the options contract. In other words, as long as I have shares to sell, and there's a contract saying that you will buy them from me for a fixed price, then put options could most certainly exist.
- threedots 6y agoThe point is that without short selling option MMs couldn't hedge so no one would sell put options.