Hello Dario,
I've been following your Blog and Twitter since several months now and I'm grateful for all the insights you bring to light thereby letting normal people like me to better understand the intricate world of finance and economics.
I'm writing as I'd like your perspective on a crazy thing a did just before the US elections. Specifically, I bought 2 MSTR 250 Calls expiring on Jan 17th 2025. The stock as we all saw is skyrocketing for all the mechanism that Saylor orchestrated. I'm thinking to sell a contract and exercise the other so to acquire 100 shares of MSTR at $250/each.Â
Given the incoming crash, and the unstable future of the economy in 2025 would you consider this a "smart" move or would you just get rid of the contracts and take the money to be very liquid and potentially buy BTC when this bull run will lose steam?
Thank you in advance for your take.
Have a nice evening,Â
Francesco
Dear Francesco,
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I am afraid I cannot provide an answer to your question since that will be financial advise and illegal for me to do so. The only thing I can say is to manage your position aligned with your risk appetite and tolerance, furthermore, beware that once you exercise an option by definition you lose the "optionality" of your position that will become a different type of investment and unless you are considering a medium to long term horizon usually keeping the optionality carries higher value on a like for like basis.
