Trade closed: Dec 2009

On Wednesday Nov 25th, I closed out the Dec 1325 put for .30. I wanted to take the risk off the table and felt that the cost to close of .30 was well worth it. At the time, the trade had made 93% of its possible max profit. There were 22 days until expiry and didn't want to wait that long to free up my collateral.

Index level: 1793.75
Buy to close: 1 Dec 09 1325 put
Cost to close: .30
Initial Margin req.: $13,250.00
Commission: $1.25
Net debit: $31.25
Profit: $417.50
Days open: 28
Simple return: 3.15%
Yield: 41.07%
% to ITM: 26.13%
VXN level: 21.31%
Mmkt equivalent earnings @ 1.30%: $13.21