How ITM Short Puts Become Like Stock

You’ve likely heard before that an in-the-money (ITM) <a href="https://ontt.tv/2MERWq1">Short Put</a> is basically just like long stock, at some point. As we look at our deep ITM Short Put position in WMT, we explain how that happens, by looking at the deltas of the position relative to the deltas on a stock position. In doing so, we see that our WMT position is indeed not much different from a purely long stock position.<a href="https://ontt.tv/Q15PX">Did you catch our show on how to determine Delta/Theta levels for your portfolio</a>?