Multi leg option strategies

The FINRA Regulatory Notice 22-08¹² is perfect for limitations and criticisms. It's directly from FINRA.org, discusses risks of complex products and options, and the need for investor understanding.

So, my external links will be:

1. History: Cboe.com - "The Creation of Listed Options at Cboe"¹¹
2. Practical Applications: OCC.com - "Clearance and Settlement"¹⁰
3. Practical Applications (Benefits): Interactivebrokers.com - "Multi-Leg Options Can Reduce Risk & Improve Executions"
4. Limitations: FINRA.org - "Regulatory Notice 22-08"⁹

I have all the necessary information and links to proceed with writing the article.

Building the LINK_POOL (hidden table):

Now, I will start writing the article section by section, carefully integrating the internal and external links. I will keep track of the internal links used to ensure all 15 are unique and used once.

Internal links used counter:

1. Option contract
2. Call option
3. Put option
4. Strike price
5. Premium
6. Volatility
7. Hedging
8. Speculation
9. Covered call
10. Protective put
11. Bull spread
12. Bear spread
13. Straddle
14. Risk management
15. Underlying asset

I need to make sure I don't use "Single leg options" as an internal link if I don't have a slug for it in the LINK_POOL. I will explain it in contrast.

Reviewing the internal links to make sure they are used.
I need to be careful with the "Formula and Calculation" section. Multi-leg strategies don't have a single universal formula like, say, the Black-Scholes model. Instead, their profit/loss and break-even points are calculated by combining the individual legs. I'll illustrate with a simple spread's break-even.

The prompt states: "Formula and Calculation: • Only include this section if a formula is applicable to [TERM]. • Use formatted markdown math or code block and define each variable. • Link 1–2 terms from LINK_POOL that relate to calculation inputs or outputs. • If [TERM] has no formula, omit this entire section."

For multi-leg options, the "formula" isn't for the strategy itself but for its specific profit/loss or break-even points, which combine the individual option contracts. I will demonstrate with a simple vertical spread.

For the [RELATED_TERM] comparison, I will use "Simple Options" or "Individual Options" as the contrast rather than "Single leg options" if I'm not creating a specific slug for it. The prompt just asks for "[RELATED_TERM]" in the heading, but the description says "Clarify where confusion occurs. Link to [RELATED_TERM] from LINK_POOL." This implies I need "Single leg options" as an internal link in the LINK_POOL.

Let me adjust my LINK_POOL to include a more general term for single-leg options if needed, or ensure "Option contract" is sufficient for the comparison. "Option contract" is already in the list. I can frame the comparison as "Multi-Leg Option Strategies vs. Simple Option Contracts" or "Individual Option Contracts." Let's stick with "Single Leg Options" as the term to contrast with if I need a direct contrast, but I don't have a slug for it.

Instead of adding "Single leg options" to the LINK_POOL, I will contrast multi-leg strategies with individual options or simple options, which rely on the definition of an [Option contract]. This avoids creating a slug that might not exist. I'll make sure to link to "Option contract" in that section.

Final check on external links:

1. History: The Creation of Listed Options at Cboe - Cboe.co⁸m, looks good.
2. Practical Applications: Clearance & Settlement - OCC - theocc.⁷com, looks good.
3. Practical Applications (Benefits): Multi-Leg Options Can Reduce Risk & Improve Executions - Interactive Brokers LLC - interactivebrokers.com, looks good.
4. Limitations: Regulatory Notice 22-08 | FINRA.org - finra.o⁶rg, looks good.

All external links are from trusted domains, are live, and readable.
All internal links are planned.

Now I will begin writing the article.¹²³⁴⁵