During this webinar, representatives from Fidelity's Trading Strategy Desk will discuss how hedging can be used by traders and investors to help protect their portfolio during times of volatility. Learning about hedging strategies can provide a better understanding of how traders might minimize the impact of an adverse move. We will dive into common hedging techniques and important concepts to consider when executing an effective hedge.
Topics of this webinar will include:
- What is a hedge and why would a trader use it?
- Appropriate use of common protective equity orders
- What is beta and why it matters?
- Using protective puts
- Using collars
Options trading entails significant risk and is not appropriate for all investors. Certain complex options strategies carry additional risk. Before trading options, please read Characteristics and Risks of Standardized Options. Supporting documentation for any claims, if applicable, will be furnished upon request.
There are additional costs associated with option strategies that call for multiple purchases and sales of options, such as spreads, straddles, and collars, as compared with a single option trade.