x time Leveraged Option

Discussion in 'Options' started by thecoder, Sep 15, 2020.

  1. thecoder

    thecoder

    @BMK, good & nice, but can you summarize & generalize what you are trying to say?
    And: I've no practical experience myself with futures, nor ND, nor NQ... I'm just an equity options guy :)
    I mean, I unfortunately haven't got what your actual opinion about the above solution is. Do you mean it's wrong? Which part? The discount part?

    Using that new algorithm (cf. the above table) any leverage factor is possible. 5x was just an (maybe extreme) example. Usually one will use 2x, IMO. Cf. table for the discount for this: it's 12.5%.

    And: the topic is about having x times a leverage over normal option, cf. OP.
     
    Last edited: Sep 18, 2020
    #21     Sep 18, 2020