Iron Condor
Mechanics · 9 min

The collar

Long stock with a long put for protection and a short call to finance it. Cheap insurance, capped upside. The position long-term shareholders run through quiet periods of nerves.

In this lesson

  • The construction
  • Why the collar works for shareholders
  • The "zero cost collar"
  • When the collar fits
  • Management

Read the full lesson in the app

The complete lesson, with worked examples, callouts, and a quiz to test yourself, is in Iron Condor Options.

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