Add training workflow, datasets, and runbook

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2025-12-23 21:17:22 -08:00
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22 •   TheIntelligentOptionInvestor
The beautiful thing about this flexibility is that an intelligent option in-
vestor can pick and choose what exposure he or she wants to gain or accept in
order to tailor his or her risk-return profile to an underlying stock. By tailoring
your risk-return profile, you can increase growth, boost income, and insure
your portfolio from downside shocks. Lets take a look at a few examples.
Options Give Investors Many Choices
Buying a Call for Growth
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50
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BE = $55
GREEN
Above an investor is bullish on the prospects of the stock and is using a call op-
tion to gain exposure to a stocks upside potential above $50 per share. Rather
than accepting exposure to the stocks entire downside potential (maximum
of a $50 loss) as he or she would have by buying the stock outright, the call-
option investor would pay an upfront premium of, in this case, $5.
Selling a Put for Income
50
100
150
200
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BE = $45
RED