Comment on Basics on Options Shorting/Writing
commented on
22 Apr 2014, 11:56 PM
Fiddled around with numbers in https://zerodha.com/margin-calculator/SPAN
Date: 22 Apr 2014
Exchange: NFO
Product: Options
Symbol: NIFTY 26-JUN-14
Option Type: Puts
Qty: 50
Buy or Sell: Sell/Write
Strike Price: 6100 (~ 200 day SMA)
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Premium receivable: Rs. 128
Total Margin: Rs. 20,651
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ROI: 0.62% over 2 month period
How did you come up with 4% a month? can you show me your inputs?