Talk:Risk reversal
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What does 25 delta put/call mean?
[edit]The 25 delta put is the put whose strike has been chosen such that the delta is -25%
What delta is this? — Preceding unsigned comment added by 223.73.121.45 (talk) 15:38, 9 June 2018 (UTC)
What does "Risk reversal" in marketing-speak mean?
[edit]Risk reversal in this context is being discussed as an investment strategy. I am not sure if this need to be broken into 2 different articles with a disambiguation front page. Please let me know if you want to under take that --67.153.8.235 (talk) 17:36, 24 November 2009 (UTC)
Links to hedging strategies
[edit]As another discussion point, in an effort to make this a quality document, I was going to make sure that it is properly linked from within Wikipedia. However, I was not sure if there were lists of Hedging strategies. I was actually quite shocked as to the dis-array of these articles on wikipedia. If anyone has Ideas on how to clear this up, I would love to help. --67.153.8.235 (talk) 17:36, 24 November 2009 (UTC)
Beter references
[edit]This article is linked from Long / short equity there are most likely other places where this could be linked. Are there any Academics out there that could point to a higher quality research paper on the topic. I would love to stiffen up the References section. --Q. Boiler (talk) 17:42, 24 November 2009 (UTC)
Inaccurate definition
[edit]The top half of the article has an inaccurate definition: A risk reversal is selling an out of the money call and purchasing an out of the money put. This definition is listed clearly in two of the external links: Reuters and Investopedia. The reference appears to come from a potentially bogus website.
- I have no idea what that definition means. Could someone put that in plain English and either define or provide links to:
- "out of the money"
- "call"
- "put"
- Thank you. Thirteenangrymen (talk) 19:17, 16 June 2016 (UTC)
I also would not mention a collar in this article. It's unnecessary and could possibly confuse someone unfamiliar with options and options strategies. — Preceding unsigned comment added by Johnf789 (talk • contribs) 08:04, 28 January 2011 (UTC)
- "Risk reversal" refers to the fact that, by entering such a trade, the investor is betting on a market recovery, where the underlying is rallying ("bullish" expectations). As opposed to a structure where the investor is risk adverse and would rather look for protection on the downside. (Finquant) — Preceding unsigned comment added by Finquant (talk • contribs) 16:59, 16 August 2011 (UTC)