{"product_id":"stcov241sysp","title":"Stocks \u0026 Commodities V. 24:5 (16-20): Synthetically Speaking by Paul J. Kluskowski","description":"Stocks \u0026amp; Commodities V. 24:5 (16-20): Synthetically Speaking by Paul J. Kluskowski\u003cbr\u003e\u003cbr\u003eHow do you transform your premium from debit to credit? Think synthetic positions.\u003cbr\u003e\u003cbr\u003eAsk anyone in the know and they will tell you that the risk\/reward profile of a long option is limited risk with unlimited reward potential. The built-in assumption is that the premium is at risk. What if there was a way to change this? What if the premium could be transformed from debit to credit, leaving you with\na risk\/reward spectrum that was small gain to unlimited\ngain, versus small loss to unlimited gain? Impossible,\nyou say? If you can think synthetically, this transformation is quite possible.\u003cbr\u003e\u003cbr\u003eWHAT ARE SYNTHETIC POSITIONS?\u003cbr\u003e\u003cbr\u003eSynthetic positions are combinations of stock or futures and options that give the risk\/reward profile of a different tradable. Using synthetic positions gives us nearly limitless possible combinations, but our focus right now is to create a synthetic long call option for a credit. A long call option can be synthetically replicated with the use of a long stock position with a long put. (I should note here that there is limited downside risk with hypothetically unlimited upside reward.)","brand":"store-traders-com","offers":[{"title":"Default Title","offer_id":52133920309617,"sku":"\\V24\\C05\\086KLUS.pdf","price":2.95,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0900\/3843\/6209\/files\/unnamed_4e82e590-9603-422e-a769-6f9bfda0f324.jpg?v=1739657349","url":"https:\/\/shop.traders.com\/products\/stcov241sysp","provider":"Stocks \u0026 Commodities","version":"1.0","type":"link"}