additional thoughts on the risk-reward of option collars

Friends,

I know this is an off-cycle post but I just want to add a couple of important insights as a brief follow-up to last week’s the risk-reward of option collars.

As a reminder, that piece starts with a highly intuitive (ie what actual investors think about) measure of an option collar’s risk-reward and the aspects of the vol surface which push it up or down. The point is to marry the vol lens with the price lens people use to actually make an investing decision.

And for those of us who don’t want to think too hard when looking at pictures, I also include a section on chart craft.

Let’s roll…