SIE practice questioneasyLong/short positions
An investor who writes a call option is said to be:
- ALong the call
- BShort the call✓ Correct answer
- CLong the put
- DShort the put
Explanation
Why B — Short the call
Writing (selling) an option creates a short position in that option. Choice A and C refer to buying options, and D describes the wrong type of option.
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