3 ms·
It's almost as if the markets are intentionally structured such that it's easy to place a long-term bet that asset prices will rise, but relatively more difficu
by avn2109 12y ago
It's almost as if the markets are intentionally structured such that it's easy to place a long-term bet that asset prices will rise, but relatively more difficult to bet the converse :0
- JimboOmega 12y agoYou can always buy long-term put options. The premium is high, because of the time range.
- avn2109 12y agoThat's exactly what I mean by "relatively more difficult." There is no premium if you buy and hold, in fact that's the baseline situation from which the premium is calculated. And buy-and-hold works for arbitrary timescales, while even long term puts come only in certain flavors. That starts to seem a lot like structurally built-in upward pressure on prices.