MANAGEMENT

Detailed explanation-1: -A: Yes. The FDIC insures deposits according to the ownership category in which the funds are insured and how the accounts are titled. The standard deposit insurance coverage limit is $250, 000 per depositor, per FDIC-insured bank, per ownership category.

Detailed explanation-2: -Many people use investment products to help buy a home, send children to college, or build a retirement nest egg. But unlike traditional checking or savings accounts, non-deposit investment products are not insured by the FDIC, even if they were purchased from an FDIC-insured bank.

Detailed explanation-3: -While bank balances are insured by the FDIC, investments in a brokerage account are covered by the Securities Investor Protection Corporation (SIPC). It protects investors in the unlikely event that their brokerage firm fails.

Detailed explanation-4: -How it works? A put option gives its holder the right to sell a stock / index at a set price by a certain date. Buying a put option—when you also own the stock / index / mutual fund—is basically buying insurance for your stock or hedging against a possible decline.