Share renting? Buying insurances? -Jamie McIntyre

Discussion in 'Share Investing Strategies, Theories & Education' started by shouldisell, 7th Jul, 2007.

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  1. shirls33

    shirls33 New Member

    Joined:
    1st Jul, 2015
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    1
    Location:
    Canberra
    Covered calls using cfds

    What about using CFDs to cover your written call or put position. You can place a guaranteed stop (0.3% in IG markets) and write in the money to protect. The CFD only requires 5-10% margin effectively multiplying your returns. Have been looking around for any info on the topic but havnt had much success so if anyone knows anything that would be great.

    Any info would be great as am excited about the potentials in this strategy
     
    shirls33, 10th Sep, 2010
    #21
  2. Tropo

    Tropo Well-Known Member

    Joined:
    1st Jul, 2015
    Posts:
    2,303
    Location:
    NSW

    Why would you do it ?
    Hedging is very rarely undertaken by professional traders or institutions for the simple reason of cost.
     
    Tropo, 10th Sep, 2010
    #22
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