RATIO PUT WRITE	MARRIED PUT
About Strategy	Ratio Put Write Option Strategy  This strategy is implemented by selling (short) the underlying asset in the cash/futures market. Simultaneously, sell ATM Puts double the number of long quantity. This strategy is used by a trader who in neutral on the market and bearish on the volatility in the near future. Here profits will be capped up to the premium amount and risk will be potentially unlimited. Read more..	Married Put Option Strategy This strategy is applied when trader goes long on the underlying asset i.e. he buys the stock in cash market. He has a bullish view and expects the market to rise in the near future, but simultaneously has the fear of downward movement of the markets. In order to cover his position from vulnerabilities he buys one ATM Put Option of the same underlying asset. Here, a trader wi .. Read more..

RATIO PUT WRITE Vs MARRIED PUT - Details

	RATIO PUT WRITE	MARRIED PUT
Market View	Neutral	Bullish
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Beginners	Beginners
Reward Profile	Max Profit Achieved When Price of Underlying = Strike Price of Short Puts	Unlimited
Risk Profile	Loss Occurs When Price of Underlying < Strike Price of Short Put - Net Premium Received OR Price of Underlying > Strike Price of Short Put + Net Premium Received	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Puts + Points of Maximum Profit Lower Breakeven Point = Strike Price of Short Puts - Points of Maximum Profit	Purchase Price of Underlying + Premium Paid

RATIO PUT WRITE Vs MARRIED PUT - When & How to use ?

	RATIO PUT WRITE	MARRIED PUT
Market View	Neutral	Bullish
When to use?	This strategy is implemented by selling (short) the underlying asset in the cash/futures market. This strategy is used by a trader who in neutral on the market and bearish on the volatility in the near future	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Sell 2 ATM Puts	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Upper Breakeven Point = Strike Price of Short Puts + Points of Maximum Profit Lower Breakeven Point = Strike Price of Short Puts - Points of Maximum Profit	Purchase Price of Underlying + Premium Paid

RATIO PUT WRITE Vs MARRIED PUT - Risk & Reward

	RATIO PUT WRITE	MARRIED PUT
Maximum Profit Scenario	Net Premium Received - Commissions Paid	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Price of Underlying - Sale Price of Underlying - Net Premium Received OR Strike Price of Short Put - Price of Underlying - Net Premium Received + Commissions Paid	Max Loss = Premium Paid + Commissions Paid
Risk	Unlimited	Limited
Reward	Limited	Unlimited

RATIO PUT WRITE Vs MARRIED PUT - Strategy Pros & Cons

	RATIO PUT WRITE	MARRIED PUT
Similar Strategies	Short Strangle and Short Straddle	Long Call
Disadvantage	• Potential loss is higher than gain. • Limited profit.	Cost of the put options eats into profit margin.
Advantages		Unlimited Profit and Limited Risk