**Investors in Vanguard International Dividend Appreciation ETF (VIGI) have new options available this week, specifically for the April 17 expiration date.** Notably, a put contract at the $92.00 strike price is attracting attention, with a current bid of $1.20. By selling to open this put contract, investors commit to purchasing shares at $92.00 while effectively lowering their cost basis to $90.80 after accounting for the premium received.
This $92.00 strike price represents approximately a 1% discount from VIGI’s current trading price of $92.79. The likelihood of this put contract expiring worthless is estimated at 54%, offering a potential 1.30% return on cash commitment, translating to an annualized rate of 10.83%. The implied volatility for this contract stands at 26%, while the actual trailing volatility over the past year is calculated to be 15%.
