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54.5¢ slater & gordon limited

50% gain in two and bit sessions, page-55

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adrian1964

216 Posts.

15

10/01/17

13:13

Post #: 21792092
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Originally posted by Dr.Who ↑

If you hold a position in a security and you take another opposite position in the same security. Is that a hedge? If not why not? One moves up while the other moves down. Now, if both positions are identical is that not a perfect hedge for as long as that position is held. At the point in time of establishing both positions a future outcome is known it cannot vary. That doesn't produce a return itself but it does when one side is released.

Be great to read your version of the above Adrian.

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Let me get it right. Holding both positions is not the same like doing nothing,except throwing money on fees ?

SGH Price at posting: 30.0¢ Sentiment: None Disclosure: Not Held
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