Add training workflow, datasets, and runbook

training_data/relevant/text/5ee40ff5dc9e0366ccf63d0c82512adb13df104edd7e82f5e69c6ff9e45610ba.txt

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+Mixing Exposure  •  251
+Equivalent 
+AAPL Strike ($) Deductible ($)  Annual Premium ($)
+Total Liability to Home 
+Owner ($)
+450 2,795 64,500 67,295
+405 52,516 32,500 85,016
+360 102,236 13,500 115,736
+I know that I would not be insuring my house at these rates and under 
+those conditions! In light of these prices, the first thing you must consider 
+is whether protecting a particular asset from unrealized price declines is 
+worth the huge realized losses you must take to buy put premium. Buying 
+ATM put protection on AAPL is setting up a 12.9 percent hurdle rate that 
+the stock must surpass in one year just for you to start making a profit on 
+the position, and 13 percent per year is quite a hurdle rate!
+If there is some reason why you believe that you need to pay for insurance, 
+a better option—cheaper from a realized loss perspective—would be to sell 
+the shares and use part of the proceeds to buy call options as an option-based 
+replacement for the stock position. This approach has a few benefits:
+1. The risk-reward profile is exactly the same between the two 
+structures.
+2. Any ATM or ITM call will be more lightly levered than any OTM 
+put, meaning a lower realized loss on initiation.
+3. For dividend-paying stocks, call owners do not have the right to 
+receive dividends, but the amount of the projected dividend is de-
+ducted from the premium (as part of the drift calculation shown 
+in the section on covered calls). As such, although not being paid 
+dividends over time, you are getting what amounts to a one-time 
+upfront dividend payment.
+4. If you do not like the thought of leverage in your portfolio, you can 
+self-margin the position (i.e., keep enough cash in reserve such that 
+you are not “borrowing” any money through the call purchase).
+I do not hedge individual positions, but I do like the ITM call op-
+tion as an alternative for people who feel the need to do so. For hedg-
+ing of a general portfolio, rather than hedging of a particular holding in 
+a portfolio, options on sector or index exchange-traded funds (ETFs) are 
+more reasonably priced. Here are the ask prices for put options on the SPX