Assume you are managing a $5,000,000 portfolio and your current holding are all in different individual stocks. Part of your strategy is to invest about 10% or $500,000 of the portfolio in option related securities. You can use some of the money for speculation purposes, (buying or selling naked options) and hoping to enhance your overall portfolio performance. You also can use the rest of the money for hedging purposes. - Naked call - Naked put - Covered call - Covered put - Selling naked call - Selling naked put - Straddles - Strangles - Spreads o Calendar o Vertical o Diagonal Debit Credit

Allocate all $500,000 to the some of the above strategies. (the weight or how much you allocate to each strategy its all up to you) - Use a minimum of eight strategies (out of 13) - Use real pricing Please describe as many details as possible your reasoning for the amount of allocation, risk and expected return of each individual trade (strategy)