An option is a contract giving the purchaser the right, though not the obligation, to buy or sell a security at a specified price for a particular period of time. Options trading—conducted formally for stocks on U.S. exchanges since 1973—has given rise to a number of distinctively named investing strategies.
These strategies, confusingly enough, sound a lot like strategies used in a completely different context: The names of sex positions that the women’s magazine Cosmopolitan suggests for its readers, in forums such as its Cosmopolitan.com website and its how-to guide The Cosmo Kama Sutra: 99 Mind-Blowing Sex Positions.
So let’s conduct a test of your financial—and erotic—expertise. Which of these are options investing strategies? Which are Cosmo sex positions?