An investor who buys shares and writes a call option on stock is classified as__________?
Correct answer: C. Hedger
- A. Put investor
- B. Call investor
- C. Hedger
- D. Volatile hedge
Explanation
Buying shares and writing a call on those shares is a covered-call strategy, commonly used as a hedging or income strategy. Among the given options, hedger is the appropriate classification.
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