Why are the put prices of options so high in the same month?

I saw you asking upstairs, and I finally understood what you meant. Let's start with your hypothetical example. For example, the settlement price of M1905C2700 is RMB, and the settlement price of M1905P2700 is.

Do you think it's unreasonable? Actually, it may be reasonable. You think that both options should be about yuan**, this is unreasonable, unless the current underlying ** happens to be in yuan, and both options are at-the-money options.

If your understanding is changed to the time value of two options, you ignore the intrinsic value, the 1905P2700 option should still have an intrinsic value of about 100 yuan, and the underlying ** price in this case should be around the yuan.

It is explained that options have intrinsic value and time value, and the intrinsic value is determined by the exercise price and the underlying ****, which can be calculated clearly and will not be swayed by market trading sentiment. Time value is related to the expiration time and volatility of options, and indicators such as market sentiment, including the amount of open interest you mention, can be reflected in time value to a certain extent. According to the option parity formula, the time value of two put options subscribed in the same month and the same expiration time should be equal, but don't forget, the two must have a real value and an imaginary value, one has an intrinsic value, and one has an intrinsic value of 0.

Unless both happen to be even-valued).

There are many kinds of call and put options in the same month, some are high and some are low, corresponding to different exercises.

Some are out-of-the-money options, some are at-the-money options and market value options.

The closer you get to the exercise date, the closer the option** is to the true value.

An option is a financial instrument that gives the holder the right, not the obligation, to sell an asset for a specific amount of time in the future. Options trading can be divided into two types: call and put options, as well as options and put options.

In this article, we've taken a look at why options are divided into these four different types.

First, let's take a look at call and put options. A call option is the right of the holder to hold a specific asset at a specific time in the future. This means that the holder of the call option can choose to purchase the asset in the future at an agreed level, regardless of how the market changes.

Call options are often used in cases where the investor expects the asset to be purchased at a lower price in the future. In contrast, a put option is the right of the holder to sell an asset for a specific amount of time in the future. This means that the holder of the put option can choose to agree on the asset in the future, regardless of how the market changes.

Put options are often used in situations where the investor expects the asset to be sold at a higher price in the future.

Next, let's take a look at options and put options. Options refer to the act of an investor buying an option contract to obtain the right to sell an asset at a specific time in the future. Investors in options usually want to buy or sell assets in the future in order to make a bigger profit when the market changes.

On the contrary, selling an option refers to the act of transferring the right to an option to someone else. Investors who sell options often want to receive the option fee and expect that the market will not reach the price in the future, thus retaining the option fee as profit.

This is because different investors have different investment goals and risk appetites. Call options and put options provide the opportunity to invest in the market or in order to agree or sell the asset in the future. Options and put options provide investors with the right or obligation to agree or sell an asset at a specific time in the future.

These four types of options provide investors with flexibility and a variety of investment strategy options.

In summary, options are divided into call options, put options, ** options, and put options. Call options and put options provide the right to sell an asset at a specific price or in the future, while options and put options provide the right or obligation of an investor to sell an asset at a specific price or at a specific price. These four types of options provide different investors with a variety of investment strategy options to meet their investment goals and risk appetite.

Options are divided into call options and put options, as well as ** options and put optionsThis is because the rights and obligations of these four options contracts are differentInvestors can choose a suitable options trading strategy according to their investment needs and market conditions.

Call option refers to the right of exercise of the option contract, call option refers to the investor's right to agree on the underlying asset at the expiration of the contract, and put option refers to the investor's right to sell the underlying asset at the expiration of the contract. Call options are for the call market, and put options are for the put market.

Options and put options refer to the rights and obligations of option contracts, and options refer to the rights and obligations of investors who pay premiums, purchase the exercise rights of option contracts, and earn the difference in the price of the underlying assets, and the risk is limited to the scope of the premium; The sell option refers to the investor's right to accept the premium, the right to exercise the right to the contract during the filial piety period, and bear the risk of the underlying asset, with limited returns, but the obligation to exercise the option to the buyer.

Therefore, call options and put options, ** options and put options, each corresponding to different market conditions and investment needs, investors can choose their own options trading strategy to maximize investment returns.

In the field of investment and finance, an option is a financial instrument provided in the form of a contract, which allows the holder to have a specific act of monetary value at a certain point in the future, commonly known as the right to buy and sell. Therefore, with options, it can help those with narrow risks to grasp the trend and earn profits on the premise of discarding unnecessary losses in details, that is, options can provide investors with a certain degree of respect for individual freedom of choice and the ability to curb risks.

Given the diversity of options, there are different types of options in the market, the most common of which include call options, put options, ** options, and put options. Considering the nature and function of different options, let's take a closer look at the characteristics of these four options.

First, to be clear, a call option means that the holder has the right to buy **or other ** for a certain amount of time within a specified period of time, secondly, a put option means that the holder has the right to ** or otherwise ** for a certain amount of time within a specified period of time, thirdly, an option means that the holder has the right to sell **or other ** to the other party within a specified period of time, and finally, a sell option means that the holder has the right to sell **or other ** to the other party at a certain amount of time within a specified period of time.

The above is the reason why options are divided into call options, put options, ** options and put options, these four options play different roles in the financial market, investors should understand the characteristics, risks and benefits of each option, in order to balance the risk and return according to the personal situation.

Jin Yantou.

Caishun FinanceOptions knowledge content:

Put options are also known as "put options", "put options" or.

Knock out", the symmetry of call options, one of the types of options trading, the right to sell a certain valuable ** on a certain day or in a certain period of time in the future, according to the specified ** and quantity. After the customer purchases the put option, he has the right to sell a certain amount of value to the seller of the "put option" according to the ** and quantity specified in the contract within the specified date or period. Generally speaking, people are willing to buy put options only when there is a trend in the market.

Because, during the validity period of the sold option, the buyer can only make a profit by exercising the option after the ****** has reached a certain level.

A put option gives the option buyer the right to sell the underlying **. The buyer has this right at the cost of paying a certain amount of royalty. For the seller of the put option, while receiving the premium, it also bears the corresponding obligation, that is, when the buyer proposes to exercise the option on the expiration date, the seller is obliged to specify the number of the underlying at the exercise price.

Suppose the investor Xiao Wang** has an ETF put option that expires in 3 months and has an exercise of 2 yuan, then after 3 months, when the ETF** is higher than 2 yuan, Xiao Wang will not ask for the exercise, and then Xiao Wang's counterparty, that is, the seller of the put option, will receive the premium without actually "fulfilling the obligation". However, if the ETF's ** is less than 2 yuan, Xiao Wang will ask for exercise. At this time, Xiao Wang's counterparty, that is, the seller of the put option, must prepare money in advance to hold the ETF held by Xiao Wang with 2 yuan (although the current market ** is actually lower, but the seller must still use the agreed **2 yuan from Xiao Wang's hands**).

This is the obligation of the seller).

Similar to the previously mentioned put call option, the seller of the put option is also required to post a margin in order to ensure that the seller fulfills its obligations when due.

**After putting the option, the option buyer pays the premium, if the future market **, there may be a profit or a large return, the future market ****, can not exercise the right, only lose the premium, the option buyer theoretically has limited risk and unlimited returns.

Conversely, the seller of an option is theoretically risky and has a limited return.

After selling the put option, the premium is received. In the future, **** is good for yourself, and **** is not good for yourself.

1. A call option means that after the buyer of the option pays a certain amount of premium to the seller of the option, he will have the right to pay a certain amount of the underlying assets specified in the option contract to the option seller within the time specified in the option contract, but does not have the obligation to buy. The option seller is obliged to sell the underlying asset specified in the option contract at the ** specified in the option contract at the request of the option buyer within the time specified in the option contract.

2. Put option means that after the buyer of the option pays a certain amount of premium to the seller of the option, he has the right to sell a certain amount of the underlying assets specified in the option contract to the seller of the option merge according to the pre-agreed ** within the time specified in the option contract, but does not have the obligation to sell. The option seller is obliged to use the **** underlying assets specified in the option contract at the request of the option buyer within the time specified in the option contract.

3. In practice, take ** call option as an example. When an investor expects a 50 ETF to appear in the current month, they can choose a 50 ETF call option that expires in the current month, which is called opening a position. If the 50ETF appears before the expiration date of the contract, the investor can either keep it or sell the option at the market price in advance, which is called selling to close the position.

In addition, if the 50 ETF appears after expiration, the investor can buy the 50 ETF directly in the market at a lower price, so the option is invalid and the investor will lose the premium previously paid.

The difference between a call option and a put option1.Put option is put, that the underlying asset will be ** in the contract, if the market of the underlying asset in the future is lower than the ** agreed in the option, the buyer of the put option can make a profit by selling the underlying asset by executing, and if the market of the underlying asset in the future exceeds the ** macro agreed in the option, the buyer of the option can waive the right; The call option is call, thinking that the underlying asset will be ** in the contract, if the **** of the expiration date is higher than the exercise**, then the call option is in real value, and the holder will exercise the option and obtain income; If the expiration date is lower than the strike, then the call option is in out-of-the-money and the holder will not exercise the option, and the value of the call option is 0.

2.The buyer of the call option, its maximum loss is the premium, with the underlying stock price continues to **, its profit is unlimited; The seller's maximum profit is the premium, and with the price of the underlying stock, its loss is unlimited.

The buyer of a put option has a maximum loss of premium, and with the continuous increase in the underlying stock price, its profit is unlimited; The seller's maximum profit is the premium, and with the continuous increase in the underlying stock price, its loss is unlimited.

This issue can be closed, hehe, and if you don't understand, you can qq me.