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A butterfly spread involves positions in...

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题目

A butterfly spread involves positions in options with three difference strike prices. It can be created by buying a call option with a low strike of X1; buying a call option with a high strike X2; and selling two call options with a strike halfway between X1 and X2. What can be said about the upside and downside of the strategy?

选项

A.Both the upside and downside is unlimited.

B.Both the upside and downside is limited.

C.The upside is unlimited but the downside is limited.

D.The upside is limited but the downside is unlimited.

答案

B

解析

The pay-off structure to this strategy leaves the upside and downside potential at the difference between the premium collected on the calls sold and the premium paid on the calls purchased.蝶式价差的特点是对价格上升和价格的损益都进行了限制。