Failed Wagers Against Stocks Are Giving Put Sellers Best Return in Decades
- PUT index is up 7% for the best start of a year in two decades
- Stocks score up days in frequency echoing 2021’s bull market
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The surprisingly resilient equity market is invigorating a time-honored options strategy, driving it to the best start of a year in two decades.
The Cboe S&P 500 PutWrite Index (ticker PUT), which sells at-the-money bearish options on the benchmark against cash reserves, has climbed in all but one of the past 17 sessions, scoring a win rate not seen in four years. Up more than 7% since January, the strategy has notched a gain bigger than any time since 1999 this far into a year.