Thread: Investing 102
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Old 11-09-2012, 03:56 PM
takid455 takid455 is offline
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An event happened today with one of my holdings. Linking to page http://m.seekingalpha.com/article/996371

Actual company aside, can some explain the benefits to this action vs buying the amount of shares for the net out of pocket? Sort of understand the article but fail to see the advantage in the action vs simply buying a chunk of shares today.
Action in question

Buy 24,413 January 2013 $3 call options for $13 each
Sell 24,863 January 2013 $2.50 put options for $11 each
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