VNQ230217P00090000 Option on Vanguard Real Estate
| VNQ Etf | USD 79.70 0.70 0.89% |
Vanguard Real's option chain provides insight into all available option contracts written on Vanguard Real's stock. Investors can see outstanding put and call contracts with pricing information and greeks for a given expiration period. In addition, each of Vanguard Real's stock options below provides a detailed picture of the payoff. Comparing vital and dynamic information of various option contracts across diverse expiration periods will help you make an educated decision on your market timing strategies around investing in a given Vanguard option contract.
In The Money vs. Out of Money Option Contracts on Vanguard Real
Analyzing Vanguard Real's in-the-money options over time can help investors to take a profitable long position in Vanguard Real regardless of its overall volatility. This is especially true when Vanguard Real's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money Vanguard Real's options could be used as guardians of the underlying stock as they move almost dollar for dollar with Vanguard Real's stock while costing only a fraction of its price.
Vanguard Real's latest option contracts expiring on 2024-05-17 are carrying combined implied volatility of 21.6 with a put-to-call open interest ratio of 1.15 over 54 outstanding agreements suggesting investors are buying more puts than calls on contracts expiring on 2024-05-17. The current put volume is at 263, with calls trading at the volume of 317. This yields a 0.83 put-to-call volume ratio. The Vanguard Real option chain provides detailed quote and price information for the current Vanguard Real Estate option contracts. It shows all of Vanguard Real's listed puts, calls, expiration dates, strike prices, and other pricing information.
Open Interest Against 2024-05-17 Option Contracts
Vanguard Real option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in Vanguard Real's lending market. For example, when Vanguard Real's puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on Vanguard Real, he or she must hedge the risk by shorting Vanguard Real stock over its option's life.
2024-05-17
The chart above shows Vanguard Real's distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. Vanguard Real's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for Vanguard Real's option, there is no secondary market available for investors to trade.
Vanguard Real Maximum Pain Price across 2024-05-17 Option Contracts
Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of particular securities such as Vanguard Real close to expiration to expire worthless. According to most research, approximately 10% to 15% of all stock options are exercised, while about 35% expire worthlessly, with roughly 50% traded out before the expiration date. So, Max pain occurs when market makers reach a net positive position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthless.
Vanguard Real's stock options are financial instruments that give investors the right to buy or sell shares of Vanguard Real Estate common stock at a specified price for a given time period. Generally speaking, an option to purchase or sell Vanguard stock makes it part of the underlying stock when the option's price is tied to the movement of the underlying stock. If Vanguard Real's stock price goes up or down, the stock options follow.
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Vanguard Real Estate. Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors. Please note that buying 'in-the-money' options on Vanguard Real lessens the impact of time decay, as they carry both intrinsic and time value. So, even if Vanguard Real's value remains static through the expiration date, the investor can sell to close an 'in-the-money' option to avoid a potential loss. However, in-the-money Vanguard Real contracts are usually more expensive to enter than their out-of-the-money counterparts. So keep in mind that while the payoffs on an in-the-money trade can be high, the investors could ultimately experience a more consequential loss if Vanguard Etf moves the wrong way.
Vanguard Real Estate In The Money Call Balance
When Vanguard Real's strike price is surpassing the current stock price, the option contract against Vanguard Real Estate stock is said to be in the money. When it comes to buying Vanguard Real's options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on Vanguard Real Estate are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.
Vanguard Current Options Market Mood
Vanguard Real's open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps Vanguard Etf's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.
Put-to-Call Open Interest
Put-to-Call Volume
Most options investors, including buyers and sellers of Vanguard Real's calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. Vanguard Real's option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction. Using current Vanguard Real's option volume and open interest to make an investment decision is considered a contrarian-sentiment measure that can be utilized in many timing strategies in both derivative and spot marketplace.
Rule 16 of the current Vanguard contract
Base on the Rule 16, the options market is currently suggesting that Vanguard Real Estate will have an average daily up or down price movement of about 1.35% per day over the life of the 2024-05-17 option contract. With Vanguard Real trading at USD 79.7, that is roughly USD 1.08. If you think that the market is fully incorporating Vanguard Real's daily price movement you should consider buying Vanguard Real Estate options at the current volatility level of 21.6%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
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Purchasing Vanguard Real options can give investors a meaningful hedge against losses and, therefore, could be used conservatively to decrease the volatility of your portfolio. However, many options could also amount to little more than gambling, significantly enhancing your overall portfolio risk. One simple example of these aggressive strategies is the sale of "uncovered" Vanguard calls. Remember, the seller must deliver Vanguard Real Estate stock to the call owner when a call is exercised.
Vanguard Real Option Chain
When Vanguard Real's strike price is surpassing the current stock price, the option contract against Vanguard Real Estate stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
Vanguard Real's option chain is a display of a range of information that helps investors for ways to trade options on Vanguard. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Vanguard. It also shows strike prices and maturity days for a Vanguard Real against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone. | Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Call | 2024-05-17 CALL at $70.0 | 0.9036 | 0.022 | 1 | 2024-05-17 | 9.3 - 9.5 | 10.03 | In |
Call | 2024-05-17 CALL at $75.0 | 0.7738 | 0.0513 | 3 | 2024-05-17 | 4.8 - 4.9 | 7.2 | In |
Call | 2024-05-17 CALL at $76.0 | 0.7238 | 0.0596 | 10 | 2024-05-17 | 4.0 - 4.1 | 3.8 | In |
Call | 2024-05-17 CALL at $77.0 | 0.6645 | 0.0679 | 9 | 2024-05-17 | 3.2 - 3.4 | 3.6 | In |
Call | 2024-05-17 CALL at $78.0 | 0.5943 | 0.074 | 13 | 2024-05-17 | 2.6 - 2.7 | 2.55 | In |
Call | 2024-05-17 CALL at $79.0 | 0.5182 | 0.0808 | 12 | 2024-05-17 | 2.0 - 2.1 | 2.0 | In |
Call | 2024-05-17 CALL at $80.0 | 0.4346 | 0.0832 | 135 | 2024-05-17 | 1.45 - 1.55 | 1.47 | Out |
Call | 2024-05-17 CALL at $81.0 | 0.3464 | 0.0822 | 165 | 2024-05-17 | 1.0 - 1.15 | 1.01 | Out |
Call | 2024-05-17 CALL at $82.0 | 0.2672 | 0.0744 | 240 | 2024-05-17 | 0.65 - 0.75 | 0.7 | Out |
Call | 2024-05-17 CALL at $83.0 | 0.1983 | 0.0637 | 77 | 2024-05-17 | 0.4 - 0.5 | 0.47 | Out |
Call | 2024-05-17 CALL at $84.0 | 0.1261 | 0.0508 | 89 | 2024-05-17 | 0.25 - 0.3 | 0.25 | Out |
Call | 2024-05-17 CALL at $85.0 | 0.0865 | 0.0384 | 339 | 2024-05-17 | 0.15 - 0.2 | 0.16 | Out |
Call | 2024-05-17 CALL at $86.0 | 0.0652 | 0.0295 | 313 | 2024-05-17 | 0.05 - 0.15 | 0.12 | Out |
Call | 2024-05-17 CALL at $87.0 | 0.0432 | 0.0212 | 193 | 2024-05-17 | 0.05 - 0.1 | 0.08 | Out |
Call | 2024-05-17 CALL at $88.0 | 0.0298 | 0.0153 | 60 | 2024-05-17 | 0.05 - 0.1 | 0.05 | Out |
Call | 2024-05-17 CALL at $89.0 | 0.0355 | 0.0154 | 78 | 2024-05-17 | 0.0 - 0.1 | 0.07 | Out |
Call | 2024-05-17 CALL at $90.0 | 0.026 | 0.0117 | 98 | 2024-05-17 | 0.0 - 0.1 | 0.05 | Out |
Put | 2024-05-17 PUT at $70.0 | -0.0476 | 0.0168 | 30 | 2024-05-17 | 0.1 - 0.15 | 0.12 | Out |
Put | 2024-05-17 PUT at $75.0 | -0.1943 | 0.0545 | 104 | 2024-05-17 | 0.5 - 0.6 | 0.56 | Out |
Put | 2024-05-17 PUT at $76.0 | -0.2534 | 0.0644 | 18 | 2024-05-17 | 0.7 - 0.8 | 0.78 | Out |
Put | 2024-05-17 PUT at $77.0 | -0.3193 | 0.0744 | 684 | 2024-05-17 | 0.95 - 1.05 | 1.03 | Out |
Put | 2024-05-17 PUT at $78.0 | -0.3949 | 0.0841 | 148 | 2024-05-17 | 1.3 - 1.35 | 1.43 | Out |
Put | 2024-05-17 PUT at $79.0 | -0.4817 | 0.0901 | 53 | 2024-05-17 | 1.7 - 1.75 | 1.69 | In |
Put | 2024-05-17 PUT at $80.0 | -0.5753 | 0.0926 | 322 | 2024-05-17 | 2.15 - 2.25 | 2.08 | In |
Put | 2024-05-17 PUT at $81.0 | -0.6752 | 0.0907 | 121 | 2024-05-17 | 2.7 - 2.8 | 2.54 | In |
Put | 2024-05-17 PUT at $82.0 | -0.7656 | 0.0799 | 549 | 2024-05-17 | 3.4 - 3.5 | 3.54 | In |
Put | 2024-05-17 PUT at $83.0 | -0.8563 | 0.0641 | 157 | 2024-05-17 | 4.1 - 4.3 | 4.2 | In |
Put | 2024-05-17 PUT at $84.0 | -0.9096 | 0.046 | 85 | 2024-05-17 | 5.0 - 5.2 | 5.3 | In |
Put | 2024-05-17 PUT at $85.0 | -0.9185 | 0.0447 | 3 | 2024-05-17 | 5.9 - 6.1 | 5.9 | In |
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Already Invested in Vanguard Real Estate?
The danger of trading Vanguard Real Estate is mainly related to its market volatility and ETF specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Vanguard Real is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Vanguard Real. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Vanguard Real Estate is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Vanguard Real Estate is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Vanguard Etf is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Vanguard Real Estate Etf. Highlighted below are key reports to facilitate an investment decision about Vanguard Real Estate Etf: Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Vanguard Real Estate. Also, note that the market value of any etf could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors. You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
The market value of Vanguard Real Estate is measured differently than its book value, which is the value of Vanguard that is recorded on the company's balance sheet. Investors also form their own opinion of Vanguard Real's value that differs from its market value or its book value, called intrinsic value, which is Vanguard Real's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Vanguard Real's market value can be influenced by many factors that don't directly affect Vanguard Real's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Vanguard Real's value and its price as these two are different measures arrived at by different means. Investors typically determine if Vanguard Real is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Vanguard Real's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.