“Drop in Tub Ideas”

750 Search Results

750 Search Results

What Is Extrinsic Value in Options Trading?

What Is Extrinsic Value?

https://www.sofi.com/learn/content/extrinsic-value/

…more extrinsic value a call option will have. Puts Put options have a lower potential value since a stock price can only drop to zero. Thus, there is a limit…


Covered Calls: The Basics of Covered Call Strategy

Covered Calls: The Basics of Covered Call Strategy

https://www.sofi.com/learn/content/covered-call-strategy/

…Another potential reason to use covered calls, for some investors, is to offset a portion of a stock’s price drop, if that were to occur. Pros and Cons of Covered…


Buy to Open vs Buy to Close

Buy to Open vs Buy to Close

https://www.sofi.com/learn/content/buy-to-open-vs-buy-to-close/

…they believe implied volatility will drop. The puts with a strike of $100, expiring in one month, brought in a credit of $5. The day before expiration, XYZ stock trades…


Understanding Economic Indicators

Understanding Economic Indicators

https://www.sofi.com/learn/content/economic-indicators/

drop. Housing Starts Census Bureau compiles data on housing starts. This economic indicator can tell you at a glance how many new home construction projects in a given month. This…


Understanding the Coupon Rate of a Bond

Understanding the Coupon Rate of a Bond

https://www.sofi.com/learn/content/bond-coupon-rate/

…interest rates drop below the bond’s coupon rate, the bond’s price may rise if it becomes a more attractive investment opportunity. When comparing coupon rates and bond prices, it’s important…


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