Explain why you agree or disagree with this statement: Buying a put is just like short selling

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Explain why you agree or disagree with this statement: "Buying a put is just like short selling the underlying asset. You gain the same thing from either position, if the underlying asset's price falls. If the price goes up, you have the same loss."

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Foundations Of Financial Markets And Institutions

ISBN: 9780136135319

4th Edition

Authors: Frank J Fabozzi, Franco G Modigliani, Frank J Jones

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Question Posted: Mar 02, 2024 05:01 AM

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Explain why you agree or disagree with this statement: Buying a put is just like short selling

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Answer I disagree with the statement that Buying a put is just like short selling the underlying asset While both buying a put option and short sellin...View the full answer

Foundations Of Financial Markets And Institutions

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