A superannuation fund is holding a large number of National Bank Limited shares in an investment portfolio and wishes to protect the value of the investment

Posted: January 10th, 2022

A superannuation fund is holding a large number of National Bank Limited shares in an investment portfolio and wishes to protect the value of the investment. The shares currently trade at $24.49. The superannuation fund buys a put option with an exercise price of $24.00 per share and a premium of $0.95 per share.