Do we need to learn all the forumlas and everything for the option strategies?
As I am confused For a protective put, it says buy a put option. then why are we subtracting it away from the forumla
Do we need to learn all the forumlas and everything for the option strategies?
As I am confused For a protective put, it says buy a put option. then why are we subtracting it away from the forumla
when you buy a put - you pay a premium. So p0 (the value of the put option at the beginning - needs to be removed).