Re:Are You Trading or Gambling?
by vardaro on Saturday February 27, 2021 @01:36PM
(#26286979)
“It feels like negative value bets don't exist in investment.”
Options are deliberately negative EV. They need to be negative EV to be long so that there is an incentive for option sellers to sell premium. Otherwise option seller would just get steamrolled every time.
Options are deliberately negative EV. They need to be negative EV to be long so that there is an incentive for option sellers to sell premium. Otherwise option seller would just get steamrolled every time.