Can option contracts be used on any sort of asset?
I know with RE you try to get an option on a property, find a buyer, and sell or assign them the option for a fee. If I wanted to do this with a portfolio of loans, would it work?
So say Zen has issued 20 loans to people and I convince him that he wants to sell them for 80% of their current balance. Could I get an option for his loan portfolio for, say, 6 months and then sell the option to someone else for 85%?
Just brainstorming, and I was wondering if anyone had heard of this before.
I know with RE you try to get an option on a property, find a buyer, and sell or assign them the option for a fee. If I wanted to do this with a portfolio of loans, would it work?
So say Zen has issued 20 loans to people and I convince him that he wants to sell them for 80% of their current balance. Could I get an option for his loan portfolio for, say, 6 months and then sell the option to someone else for 85%?
Just brainstorming, and I was wondering if anyone had heard of this before.
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