Options hedging strategies are designed to protect existing stock positions against adverse market movements. This video breaks down how protective puts and protective calls work, helping investors reduce downside risk while staying in the market.

You’ll learn:

• How protective puts hedge long stock positions

• How protective calls hedge short stock positions

• Risk/reward tradeoffs and breakeven points for each strategy

• When hedging is appropriate based on investor goals and market outlook

• How to recognize these strategies in exam scenarios

📘 Related Exams: SIE, Series 6, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options hedging, protective puts, protective calls, risk management, investor suitability