Size put spread in Vanguard Real Estate ETF rolls a defensive position
Size put spread in Vanguard Real Estate ETF rolls a defensive position. Shares off 44c to $84.63 and 60K Apr 77 puts trade 9.75c along with 40.5K Jun 81 puts for 98.4c. The 60K Apr 77 puts match a 60K block opened for 82c on 2/1, which was rolling out of a 85K lot of Mar 70 puts with shares $82.30. The position is being closed to monetize and loss and now being rolled to Jun 81 puts, while again trimming position size, after a 2.8% advance in the underlying. The adjustment is probably part of an ongoing hedging strategy against a portfolio of REITs and expresses concerns about a possible pullback in the group in the months ahead. Jun 81 puts are struck 4.3% below spot, expiring 6/21/19.