REVERSE IRON CONDOR	PROTECTIVE COLLAR
About Strategy	Reverse Iron Condor Option Strategy Reverse Iron Condor as the name suggests is the opposite of Iron Condors. In Reverse Iron Condor, a trader is bullish about volatility and expects the market to make a significant move in the near future in either direction. Here a trader will buy 1 OTM Call Option, sell 1 Deep OTM Call Option, buy 1 OTM Put Option, sell 1 Deep OTM Put Option. This strategy also Read more..	Protective Collar Strategy This Strategy is implemented when the investor requires downside protection for the short - to medium term but at lower cost. Buying protective puts can be an expensive proposition and writing OTM calls can defray the cost of the puts quite substantially. Protective Collar is considered as bearish to neutral strategy. In this strategy risk and reward is both are limited. This .. Read more..

REVERSE IRON CONDOR Vs PROTECTIVE COLLAR - Details

	REVERSE IRON CONDOR	PROTECTIVE COLLAR
Market View	Neutral	Neutral
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	4	2
Strategy Level	Advance	Beginners
Reward Profile	Limited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Purchase Price of Underlying + Net Premium Paid

REVERSE IRON CONDOR Vs PROTECTIVE COLLAR - When & How to use ?

	REVERSE IRON CONDOR	PROTECTIVE COLLAR
Market View	Neutral	Neutral
When to use?	In Reverse Iron Condor, a trader is bullish about volatility and expects the market to make a significant move in the near future in either direction	This Strategy is implemented when the investor requires downside protection for the short - to medium term but at lower cost.
Action	Buy 1 OTM Put, Sell 1 OTM Put (Lower Strike), Buy 1 OTM Call, Sell 1 OTM Call (Higher Strike)	• Short 1 Call Option, • Long 1 Put Option
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Purchase Price of Underlying + Net Premium Paid

REVERSE IRON CONDOR Vs PROTECTIVE COLLAR - Risk & Reward

	REVERSE IRON CONDOR	PROTECTIVE COLLAR
Maximum Profit Scenario	Strike Price of Short Call (or Long Put) - Strike Price of Long Call (or Short Put) - Net Premium Paid - Commissions Paid	• Call strike - stock purchase price - net premium paid + net credit received
Maximum Loss Scenario	Net Premium Paid + Commissions Paid	• Stock purchase price - put strike - net premium paid - put strike + net credit received
Risk	Limited	Limited
Reward	Limited	Limited

REVERSE IRON CONDOR Vs PROTECTIVE COLLAR - Strategy Pros & Cons

	REVERSE IRON CONDOR	PROTECTIVE COLLAR
Similar Strategies	Short Condor	Bull Put Spread, Bull Call Spread
Disadvantage	• Potential loss is higher than gain. • Limited profit.	• Potential profit is lower or limited.
Advantages	• Able to profit whether stocks move in either direction up or down. • This strategy can be used by option traders who cannot use credit spreads. • Predictable maximum loss and profits.	The Risk is limited.