Derivatives

Tige Investments has a healthy investment portfolio of derivatives

Reagan Lancaster

1/5/20231 min read

Reagan Lancaster and Tige Investments have built their investment portfolio with a focus on derivatives, particularly put strategies in income producing "out-of-the-money" options. This approach offers several benefits for investors.

Firstly, put options can be a good way to generate income in a portfolio. When you sell a put option, you are essentially agreeing to buy a stock at a certain price at some point in the future. If the stock never reaches that price, you get to keep the premium that you collected when you sold the option. This can provide a steady stream of income without actually having to own the underlying stock.

Secondly, by focusing on "out-of-the-money" options, Tige Investments is able to minimize risk. These options have a lower probability of being exercised, meaning that the likelihood of having to buy the underlying stock is reduced. This helps to protect against potential losses.

Thirdly, derivatives, such as options, can be a useful tool for portfolio management. They can be used to hedge against potential losses in other positions or to take advantage of market movements. Reagan Lancaster and the team at Tige Investments are skilled at using derivatives to manage risk and enhance returns in the portfolio.

Overall, Tige Investments' focus on derivatives, particularly put options in income producing "out-of-the-money" positions, offers several benefits for investors. It can provide a steady stream of income, minimize risk, and be a useful tool for portfolio management.