Short Double Diagonal Spread

Derivatives
Retractable Swap
December 23, 2022
Islamic Finance
Ba’i al-A’awam
December 23, 2022

A double diagonal spread that is established by selling a call diagonal spread and a put diagonal spread (i.e., it consists of a short call diagonal spread and a short put diagonal spread) with similar or different strike prices for the options involved, and for different expirations.

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