### Comment:
You’re missing the point of the strategy. The point is that you’re being capital efficient by using a stock replacement strategy. You don’t care about the result since you’re employing asymmetry of risk.

### REPLY:
But he has margin so it doesn’t matter. If you’re constrained by your cash, sure. But also, your options can expire worthless or have a worse return than buying stock if it trades sideways, down, or just slightly up. Buying options is for bigger moves than expected.

### END.