RISK REVERSAL	PUT BACKSPREAD
About Strategy	Risk Reversal Option Strategy This strategy protects an investor from unfavourable price movements in the position but limits the profits can be made on that position. A risk reversal is a hedging strategy that protects a long or short position by using put and call options. In this one option is buying and other is written. In this strategy the trader has to pay a premium, while the written option prod Read more..	Put Backspread Option Strategy If the trader is bearish on market and bullish in volatility, he will implement this strategy. However the trader can be neutral in nature i.e. indifferent if the market moves in either of the direction, this strategy will make profits, but uptrend will give a capped income than downtrend which will give unlimited returns. Read more..

RISK REVERSAL Vs PUT BACKSPREAD - Details

	RISK REVERSAL	PUT BACKSPREAD
Market View	Bullish	Bearish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	2	2
Strategy Level	Advance	Advance
Reward Profile	Unlimited
Risk Profile	Unlimited
Breakeven Point	Premium received - Put Strike Price

RISK REVERSAL Vs PUT BACKSPREAD - When & How to use ?

	RISK REVERSAL	PUT BACKSPREAD
Market View	Bullish	Bearish
When to use?	This strategy can be used for hedging. When an investor want to protect long or short position by using a call and put option.
Action	This strategy work when an investor want to hedge their position by buying a put option and selling a call option.
Breakeven Point	Premium received - Put Strike Price

RISK REVERSAL Vs PUT BACKSPREAD - Risk & Reward

	RISK REVERSAL	PUT BACKSPREAD
Maximum Profit Scenario	You have unlimited profit potential to the upside.
Maximum Loss Scenario	You have nearly unlimited downside risk as well because you are short the put
Risk	Unlimited	Limited
Reward	Unlimited	Unlimited

RISK REVERSAL Vs PUT BACKSPREAD - Strategy Pros & Cons

	RISK REVERSAL	PUT BACKSPREAD
Similar Strategies	-
Disadvantage	Unlimited Risk.
Advantages	Unlimited profit.