Chapter 02 · Section 2.1

Short DM Puts

Lara is short 4 PHLX DM June 45 puts.

Which of the following statements is correct?

a) Lara has no obligations arising from her put position.
b) Lara may be assigned the obligation to sell DM 250,000 at $.45/DM, until the expiration date in March.
c) Lara may be assigned the obligation to buy DM 250,000 at $.45/DM, until the expiration date in March.

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