Taking deep OTM options out of the position near expiration

jjwills345

Newbie
1 0
I'm wondering why market makers frequently take out long OTM front month options (calls and puts) out of their position and move them to a different account when expiration approaches. I know it has something to do with not wanting to see the delta of these options, but I was hoping someone could offer a better explanation.

Thanks
 

danishone

Junior member
16 0
I'm wondering why market makers frequently take out long OTM front month options (calls and puts) out of their position and move them to a different account when expiration approaches. I know it has something to do with not wanting to see the delta of these options, but I was hoping someone could offer a better explanation.

Thanks

Market Makers are bitchs!
 
 
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