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Writing cash secured puts
The financial definition for Writing cash secured puts:
An option strategy to avoid using a margin account. Instead of depositing margin with a broker, a put writer can deposit a cash balance equal to the option exercise price, and can avoid additional margin calls.
Similar MatchesSecured bondSecured bond A bond backed by the pledge of collateral, a mortgage, or other lien, as opposed to an unsecured bond, called a debenture .
Secured debtSecured debt Debt that has first claim on specified assets in the event of default.
Unsecured debtUnsecured debt Debt that does not identify specific assets that the debtholder is entitled to in case of default.
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