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Of the Following Routes of Exposure, Which One Has the Most

question 1

Multiple Choice

Of the following routes of exposure, which one has the most rapid effect?

Definitions:

Vertical Spread

An options trading strategy that involves buying and selling of two options of the same type and expiry date but different strike prices.

Time Spread

A strategy in options trading that involves buying and selling options on the same asset with the same strike price but different expiration dates.

Put

An option contract giving the owner the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a specified time.

Put Contract

A financial contract giving the holder the right, but not the obligation, to sell a specific amount of an underlying asset at a set price within a specific time.