LONG PUT LADDER	PROTECTIVE CALL
About Strategy	Long Put Ladder Option Strategy  Long Put Ladder can be implemented when a trader is slightly bearish on the market and volatility. It involves buying of an ITM Put Option and sale of 1 ATM & 1 OTM Put Options. However, the risk associated with this strategy is unlimited and reward is limited. Risk:< Read more..	Protective Call Option Strategy This strategy is simply the reversal of the Synthetic Call Strategy. This strategy is implemented when a trader is bearish on the market and expects to go down. Trader will short underlying stock in the cash market and buy either an ATM Call Option or OTM Call Option. The Call Option is bought to protect / hedge the upside risk on the short position. The .. Read more..

LONG PUT LADDER Vs PROTECTIVE CALL - Details

	LONG PUT LADDER	PROTECTIVE CALL
Market View	Neutral	Bearish
Type (CE/PE)	PE (Put Option)	CE (Call Option)
Number Of Positions	3	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Long Put - Net Premium Paid, Lower Breakeven Point = Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid	Sale Price of Underlying + Premium Paid

LONG PUT LADDER Vs PROTECTIVE CALL - When & How to use ?

	LONG PUT LADDER	PROTECTIVE CALL
Market View	Neutral	Bearish
When to use?	This Strategy can be implemented when a trader is slightly bearish on the market and volatility.	This strategy is implemented when a trader is bearish on the market and expects to go down.
Action	Buy 1 ITM Put, Sell 1 ATM Put, Sell 1 OTM Put	Buy 1 ATM Call
Breakeven Point	Upper Breakeven Point = Strike Price of Long Put - Net Premium Paid, Lower Breakeven Point = Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid	Sale Price of Underlying + Premium Paid

LONG PUT LADDER Vs PROTECTIVE CALL - Risk & Reward

	LONG PUT LADDER	PROTECTIVE CALL
Maximum Profit Scenario	Strike Price of Long Put - Strike Price of Higher Strike Short Put - Net Premium Paid - Commissions Paid	Sale Price of Underlying - Price of Underlying - Premium Paid
Maximum Loss Scenario	When Price of Underlying < Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid	Premium Paid + Call Strike Price - Sale Price of Underlying + Commissions Paid
Risk	Unlimited	Limited
Reward	Limited	Unlimited

LONG PUT LADDER Vs PROTECTIVE CALL - Strategy Pros & Cons

	LONG PUT LADDER	PROTECTIVE CALL
Similar Strategies	Short Strangle (Sell Strangle), Short Straddle (Sell Straddle)	Put Backspread, Long Put
Disadvantage	• Unlimited risk. • Margin required.	• Profitable when market moves as expected. • Not good for beginners.
Advantages	• Reduces capital outlay of bear put spread. • Wider maximum profit zone. • When there is decrease in implied volatility, this strategy can give profit.	• Limited risk if the market moves in opposite direction as expected. • Allows you to keep open a profitable position to make further profits. • Unlimited profit potential.