Purdue University Options Investment Management Questions

Question Description

I’m trying to learn for my Management class and I’m stuck. Can you help?

1. Explain how to build a strip, what are the purposes of a strip strategy? Build a real life strip for a stock of your choice, pull the options contracts and paste them on the answer. Please explain each part of it, what the credit or debit will be for the transaction, include every detail of each option contract you will use to build the strip trade.

2. Explain how to build a short put condor, what are the purposes of a short put condor strategy? Build a real life short put condor for a stock of your choice, pull the options contracts and paste them on the answer. Please explain each part of it, what the credit or debit will be for the transaction, include every detail of each option contract you will use to build the short put condor trade.

3. Explain how to build a short call butterfly, what are the purposes of a short call butterfly strategy? Build a real life short call butterfly for a stock of your choice, pull the options contracts and paste them on the answer. Please explain each part of it, what the credit or debit will be for the transaction, include every detail of each option contract you will use to build the short call butterfly trade.