ETF options are mature risk management tools in the capital market and play an important role in the long-term stable development of the capital market. Fake investors judge that ETFs still have room to rise in the future, but are worried about the downside risks caused by black swan events. At this time, you can use a protective put option strategy to buy insurance for the asset. Can ETF options be shorted? How to go short? When can I go short?
Source Baidu: Caishun Options
Can ETF options be shorted?
Options can be shorted. Currently, investors can short-sell ETF index funds through securities lending, or short-sell ETF index funds through options. They can use securities lending to short-sell. There are still a large number of ETF varieties. There are also some special leveraged ETF index funds on the US stock market that can be shorted. You need to open a US stock or Hong Kong stock account to operate.
How to short ETF options?
The way to build a short option position is to sell options, including selling call options and put options. The specific operation method of short selling is that the buyer is short by buying a put option, and the seller is short by selling a call option. The option buyer does not necessarily want to purchase the underlying asset.
Therefore, when the option expires, the two parties do not necessarily make physical delivery of the underlying object, but only need to make up the price based on the price difference. As a new derivative, 50ETF options can of course be shorted. For senior and experienced investors, you can try the short-selling strategy.
When can ETF options be shorted?
In actual operation, we do not necessarily have to actually sell the underlying asset to realize short option, but do a reverse transaction to hedge and close the position, thereby earning the difference between the premiums. Finally, options are a new investment variety on the exchange, including 50ETF/300ETF/500ETF/GEM ETF. Four index ETF varieties can be selected, covering different market opportunities.