SHORT CALL LADDER	PROTECTIVE COLLAR
About Strategy	Short Call Ladder Option Strategy  This strategy is implemented when a trader is moderately bullish on the market, and volatility. It involves sale of an ITM Call Option, buying of an ATM Call Option & OTM Call Option. The risk associated with the strategy is limited. Risk: 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..

SHORT CALL LADDER Vs PROTECTIVE COLLAR - Details

	SHORT CALL LADDER	PROTECTIVE COLLAR
Market View	Neutral	Neutral
Type (CE/PE)	CE (Call Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	3	2
Strategy Level	Advance	Beginners
Reward Profile	Unlimited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received	Purchase Price of Underlying + Net Premium Paid

SHORT CALL LADDER Vs PROTECTIVE COLLAR - When & How to use ?

	SHORT CALL LADDER	PROTECTIVE COLLAR
Market View	Neutral	Neutral
When to use?	This strategy is implemented when a trader is moderately bullish on the market, and volatility	This Strategy is implemented when the investor requires downside protection for the short - to medium term but at lower cost.
Action	Sell 1 ITM Call, Buy 1 ATM Call, Buy 1 OTM Call	• Short 1 Call Option, • Long 1 Put Option
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received	Purchase Price of Underlying + Net Premium Paid

SHORT CALL LADDER Vs PROTECTIVE COLLAR - Risk & Reward

	SHORT CALL LADDER	PROTECTIVE COLLAR
Maximum Profit Scenario	Profit Achieved When Price of Underlying > Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received	• Call strike - stock purchase price - net premium paid + net credit received
Maximum Loss Scenario	Strike Price of Lower Strike Long Call - Strike Price of Short Call - Net Premium Received + Commissions Paid	• Stock purchase price - put strike - net premium paid - put strike + net credit received
Risk	Limited	Limited
Reward	Unlimited	Limited

SHORT CALL LADDER Vs PROTECTIVE COLLAR - Strategy Pros & Cons

	SHORT CALL LADDER	PROTECTIVE COLLAR
Similar Strategies	Short Put Ladder, Strip, Strap	Bull Put Spread, Bull Call Spread
Disadvantage	• Unlimited risk. • Margin required.	• Potential profit is lower or limited.
Advantages	• Higher probability of profit. • Unlimited upside profit. • Limited maximum loss.	The Risk is limited.