A investor owns shares of Google. They are concerned that the stock may fall in the next three months but they do not want to sell it because they want to own it in the long term and selling it would have tax consequences.

What can they do to overcome this dilemma, and if they execute this hedge what is the resulting position economically equivalent to?

	A.	They can buy a 3 month call on Google. If they are long the underlying and they buy a call then the total resulting position is that they will make money on the call as the stock falls.
	B.	They need to sell the underlying stock, you can not buy or sell options on stock you already own.
	C.	They can buy a 3 month put on Google. If they are long the underlying and they buy a put then the total resulting position is the same as owning a call.
	D.	The economic results of owning options and owning stock are different and can not be combined.