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datavirtue | 3 months ago

They are only selling puts...that's a half-hearted short. They have the resources to borrow shares and bag the whole amount without a time constraint...why not do that?

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lukewink|3 months ago

Selling puts is not a short at all

nickff|3 months ago

It is commonly referred to as a ‘short position’, though it is not ‘shorting the stock’. Equally, purchasing calls* is referred to as a ‘long position’ (as is holding the equity).

edit: smallmancontrov below pointed out that I wrote 'purchasing puts' was long, when I meant to write 'purchasing calls'

smallmancontrov|3 months ago

Once you fully risk manage a short position and account for the price of doing so, you might realize that you have reinvented a put contract.

metabagel|3 months ago

They’re buying puts.