Suppose you buy both a european put and call options on the, Ask an Expert

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Suppose you buy both a European put and call options on the same security with both options is expiring in 6 months and both having strike price equal to the initial value of the security. Under what condition this is a reasonable investment?

Please explain your reasoning in 125 words at least.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M91593947

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