RATIO PUT SPREAD	MARRIED PUT
About Strategy	Ratio Put Spread Option Strategy  This strategy involves buying ITM Puts and simultaneously selling OTM Puts, double the number of ITM Puts. This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future. Here profits will be capped up to the premium amount and risk will be potentially unlimited. Read more..	Married Put Option Strategy This strategy is applied when trader goes long on the underlying asset i.e. he buys the stock in cash market. He has a bullish view and expects the market to rise in the near future, but simultaneously has the fear of downward movement of the markets. In order to cover his position from vulnerabilities he buys one ATM Put Option of the same underlying asset. Here, a trader wi .. Read more..

RATIO PUT SPREAD Vs MARRIED PUT - Details

	RATIO PUT SPREAD	MARRIED PUT
Market View	Neutral	Bullish
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	3	1
Strategy Level	Beginners	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Long Put +/- Net Premium Received or Paid, Lower Breakeven Point = Strike Price of Short Puts - (Points of Maximum Profit / Number of Uncovered Puts)	Purchase Price of Underlying + Premium Paid

RATIO PUT SPREAD Vs MARRIED PUT - When & How to use ?

	RATIO PUT SPREAD	MARRIED PUT
Market View	Neutral	Bullish
When to use?	This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future.	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Buy 1 ITM Put, Sell 2 OTM Puts	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Upper Breakeven Point = Strike Price of Long Put +/- Net Premium Received or Paid, Lower Breakeven Point = Strike Price of Short Puts - (Points of Maximum Profit / Number of Uncovered Puts)	Purchase Price of Underlying + Premium Paid

RATIO PUT SPREAD Vs MARRIED PUT - Risk & Reward

	RATIO PUT SPREAD	MARRIED PUT
Maximum Profit Scenario	Strike Price of Long Put - Strike Price of Short Put + Net Premium Received - Commissions Paid	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Strike Price of Short - Price of Underlying - Max Profit + Commissions Paid	Max Loss = Premium Paid + Commissions Paid
Risk	Unlimited	Limited
Reward	Limited	Unlimited

RATIO PUT SPREAD Vs MARRIED PUT - Strategy Pros & Cons

	RATIO PUT SPREAD	MARRIED PUT
Similar Strategies	Short Straddle (Sell Straddle), Short Strangle (Sell Strangle)	Long Call
Disadvantage	• Unlimited potential risk. • Limited profit.	Cost of the put options eats into profit margin.
Advantages	• Directional strategy so that there is either no upside or downside risk. • Able to profit even if trader is neutral on the market. • Higher probability of profit.	Unlimited Profit and Limited Risk