Subject: Re: DITM calls and hedging: numerical example
" Jan 2027 490 put. I'm currently short that same put. ""



That put is currently about 32 $. 490 - 32 = 458 $ to fully secure that short put position. 487 days to expiration, so that's about a 5.25 % annual return plus the interest earned on the cash, figure 3.80 ish looking out 487 days as short term interest rates drop. For an American in a taxable account, is that return commensurate for an at the money put at current valuations?

Good luck.