Who wrote this article?

Deepak Shenoy, Capitalmind's research team.

SOS Trades: Rollovers and Put Close, +75K

28 Aug 2008Deepak Shenoy1 min read

Quick Facts

What is "SOS Trades: Rollovers and Put Close, +75K" about?
What category is this article in?: General
Who wrote this article?: Deepak Shenoy, Capitalmind's research team.
When was this article published?: Published 28 August 2008.
How long does this article take to read?: 1 min read
What topics does this article cover?: ShortOnly, Unitech

For the Short Only Strategy, I’ve had to do some stuff:

Rolled over ICICI Bank and Unitech over to the September Futures. Prices are way below, so the rollover (buying back Aug future and selling Sep future) has resulted in a positive cash value.
Closed the 4400 put at a price of 186 - a profit of Rs. 47 from about a week ago. For 400 Nifty, this is a booked profit of Rs. 19,200, with brokerage taking about 3k out.
You might notice that I’ve put fairly high values of brokerage in there, but this strategy isn’t dependent on low brokerage.

Yes, if I had done this, I would have to pay income tax on the profit. I can’t see why that should stop anyone from making a profit.

At this point the SoS deal is up 75.9L. With less than 20% of the cash deployed, the profits are about 1.5% on the whole portfolio, in about two weeks. Too early to say it’s good - let’s see after six months or so. But I’ll keep this blog updated.

Click here for the full spreadsheet.

Disclosure: No current positions. As usual, this is education only, please don’t trade this, blah blah blah. You should NEVER consider this to be advice; it’s just my own fundas, just for myself.