Risk of trying to buy big on the options and quickly exercising is that while the maths is there, there is the practical reality and risk that - the price of the physical may drop over the 3 or more days it might take - there may not be the volume to get out - if the time taken is more than T+3 you will have to settle the purchase of the options before you can sell the physical
Holding the options looks pretty safe as there is a big discount and eventually they will trade at a straight 10c difference - a big leverage at these prices.
Wish I could afford more, but if they go to $1 which is what my broker is suggesting they might - then I guess I have enough!
KSX Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
