Question 17
A trader executes a strategy by selling a call option on a stock and simultaneously holding a long position (buying) in the same stock. This strategy is known as a
Protective Put
Long Straddle
Covered Call
Long Call
A trader executes a strategy by selling a call option on a stock and simultaneously holding a long position (buying) in the same stock. This strategy is known as a
Protective Put
Long Straddle
Covered Call
Long Call
Correct answer
Covered Call
Question 17 of 30 in the IIT Madras BS Corporate Finance (Corporate Finance) End Term paper sat on 21 Dec 2025, in the September 2025 term (Corporate Finance 18 Dec 25). It carries 3 marks.