You can try puts on SPY instead. It’s an ETF that tracks the same index: the S&P 500, but the share price is 1/10th, so the options are proportionally cheaper as well. There’s also the XSP mini options, but I think SPY still has better liquidity.
Also, if you have the right kind of account, you can try spreads, buying one option and selling another to help pay for it.
You could also consider a call option on an inverse index ETF, like SH, which is designed to rise when SPX falls. Its share price is even lower than SPY, currently about 1/100th of SPX or under $30/share. Most options on this will cost hundreds or less per contract, not thousands.
You can try puts on
SPY
instead. It’s an ETF that tracks the same index: the S&P 500, but the share price is 1/10th, so the options are proportionally cheaper as well. There’s also theXSP
mini options, but I thinkSPY
still has better liquidity.Also, if you have the right kind of account, you can try spreads, buying one option and selling another to help pay for it.
You could also consider a call option on an inverse index ETF, like
SH
, which is designed to rise whenSPX
falls. Its share price is even lower thanSPY
, currently about 1/100th ofSPX
or under $30/share. Most options on this will cost hundreds or less per contract, not thousands.Thank you – super helpful.