The Collar is a neutral protective options strategy that involves simultaneously buying OTM Puts and selling OTM Calls against a specific holding in your portfolio (a long position). The Collar is also know as Hedge-Wrapper and is most used during earnings announcements.
STRATEGY BIAS: Neutral (Goal is protection)
STRIKE PRICES: Different
EXPIRATION DATE: According to personal rules
UNDERLYING SECURITY: Same
Risk Graph
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