Options Action: Volatility

Wednesday, 26 May 2010 | 5:55 PM ET

Don’t know about options? There’s no time like the present!

With markets so volatile, Mike Khouw Of Cantor Fitzgerald says this may be a very important time to incorporate options into your portfolio.

Khouw tells the desk a put spread in the SPY may be worth a look as a hedge against further downside.

For example; investors could buy the SPY September 104 puts and sell the SPY September 87 puts against it, he says.

Learn more about this trade. Watch the video now!

Stocks vs. Options
Why the time is right in the market for one major client to put a spread on the spy, with Mike Khouw, Cantor Fitzgerald.

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