A2M 0.16% $6.24 the a2 milk company limited

A2M Analysis, page-169

  1. 246 Posts.
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    There is no term as "short hedging". They are hedging their large holding by shorting call options which will place a fixed bottom on their holding and if the price fall below the level they will be able to recover losses from their original holding.

    Not the best just a quick read to understand what they are doing: https://www.investopedia.com/university/options/

    https://en.m.wikipedia.org/wiki/Option_(finance)

    However, a good textbook on that might help better. There is a lot of good books discussing the strategic application of options.
    Last edited by Asifuts: 02/06/18
 
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