Monday, December 28, 2009

Can your Investment gain 2000% within a month?

I am not from Zimbabwe to say that my investment of 1 dollar (Zimbabwean Dollar) at the start of the month would fetch me more than 21 dollars at the end of month, nor this is published from the book authored by me from a mental asylum. Also this can happen when most of the asset prices you see around you have seen a cut in prices increasing your purchasing power too. This is possible due to a Financial Instrument called Option, It is a form of Derivative (a thing which derives its value from something else, which we call underlying asset), there are two variants, a Put Option (PE and PA) and a Call Option (CE and CA), when the prices of the asset deflate, investment in a put option on that asset is profitable while when prices of an asset inflate, investment in a call option on that asset inflate. Now here are some examples wherein you could have seen your investment grow by 2000% in just a matter of some days if you would have being able to identify the trend before hand by using technical analysis, If you want to learn all this subsribe through paypal buttons at the top of the page, for any queries you can contact click_dotcom@rediffmail.com.
A Put Option Contract on Nifty having a strike price of 3800 and set to expire to 30th October 2008 was quoting at a day low price of 53/- Rs on 22nd September 2008, on 24th October 2008, the same 58 Rs invested were attracting buyers at a day high price of 1298.8/- Rs.








A Call Option which gave the holder, right to buy Nifty at 4000 until 28th May 2009, was quoting at 12/- Rs on 28th April 2009, when the markets opened on 19th May 2009, the same investment could be exchanged for cash at a price of 572.85, which was the day high for the contract.








An investment made in Nifty Put Option for 31st January 2008 Expiry having a strike price 5700 would have cost you 28.1/- Rs on 15th January 2008, if you would have purchased it at that days low, the same investment could be offset for 1310/- Rs on 22nd January.








3/- Rs invested in Nifty Put Option having a strike price 3200 and expiry date 25th April 2006 would have made you rich by 317/- Rs on 22nd May 2006

2 comments:

DaveinHackensack said...

I apologize in advance for this comment being off-topic, but I didn't see a contact e-mail for you, so I am leaving the message below as a comment here.

My company has launched a new site, ShortScreen.com, which offers tools and ideas for short sellers, including a tool that screens for companies predicted to go bankrupt by their Altman Z-scores. It might be of interest to those of your readers who short stocks or buy puts on them as part of their overall portfolio strategy.

If you become an affiliate, your readers will get a discount on the regular membership fee, and you will get recurring referral commissions on every premium member you refer to the site. The whole process would be seamless for you. For more details on the affiliate program, you can click here: http://shortscreen.com/become-an-affiliate.

Feel free to e-mail me if you have any questions or would like more info.

Nagesh.MVS said...

May this is possible.Hey tell me about this program too..
Work from home India