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Short Put (Cash-Secured Put)

Income strategy with obligation to purchase stock if assigned.

Beginner

Market Outlook

bullish

Family

single-leg

Capital Req

high

Risk Profile

high

Strategy Overview

Key characteristics and when to use

Structure

Sell Put

Greek Profile

Positive delta, positive theta, negative vega

Characteristics

CreditBullishFoundation

Profit & Loss Formulas

Mathematical breakdown

Max Profit

Premium received

Max Loss

Strike price - premium received

Breakeven

Strike price - premium received