Here are some high-risk financial derivatives strategies that can achieve huge gains in the short term, but come with significant risks: 1. **Holding shuttle calls and puts (also known as test bets)**: This involves buying and selling call and put options on the same stock or futures contract in anticipation of major price movements in the short term. The strategy carries a significant risk of losing most or all of your investment. 2. **Leveraged trading of futures or options**: Using leverage to trade futures or options can magnify gains, but it also increases potential losses. If the market moves in the opposite direction of the trader's expectations, they may suffer significant losses or even face insufficient balance requirements. 3. **2:1 or 3:1 margin positions with credit brokers**: In a 2:1 or 3:1 margin account, traders can borrow additional funds to trade, potentially quickly magnifying gains. However, if the trade is not successful, the trader may lose money quickly because the position is larger than the account value. 4. **Event-driven trading (such as merger arbitrage)**: These strategies involve speculating on the value changes that may be brought about by corporate mergers or other major events. While there may be large gains, the strategy is highly dependent on accurate information and successful completion of events, which are unpredictable. 5. **Day Trading**: Day trading involves buying and selling multiple stocks, futures, or options in a single day in an attempt to take advantage of price fluctuations. This strategy requires extensive market research, good timing, and strict risk management, or it can result in significant losses. 6. **Selling Put Options (Naked Selling)**: Selling put options can provide regular premium income, but it comes with uncertain and potentially unlimited losses if the stock declines dramatically. Selling put options without proper hedging or asset coverage is considered a high-risk strategy. 7. **Using Option Upgrades (e.g., Calendar Span or Ratio Cover)**: These advanced option trades involve using multiple contracts to manage risk or increase returns. However, if not implemented correctly, they can quickly lead to significant losses. 8. **Trading Crypto Derivatives (e.g., Perpetual Delivery Contracts, Futures, Options)**: The cryptocurrency market is known for its volatility and unpredictability. Derivatives offer the benefits of leverage, but also increase the risk of potential losses. 9. **??? Spread Trading (e.g. Tie Ning*/ 10. **Calendar Straddle Trading (Calendar Straddle Cover and Ratio Cover)**: This strategy involves selling options with a near-term expiration and simultaneously buying options of the same type with a longer-term expiration. The strategy is designed to profit from time decay, but can result in significant losses if a volatility spike or sudden price shift occurs. All of these strategies require: - **Expertise**: In-depth knowledge of financial derivatives, risk management, and market behavior. - **Discipline**: Adherence to established strategies and risk management rules. - **Capital Adequacy**: Ensuring that there is sufficient capital to bear the potential losses associated with these high-risk strategies. Before entering into any financial derivatives transaction, it is critical to thoroughly assess your personal financial situation, investment objectives, and risk tolerance. Where possible, consulting a financial expert or conducting extensive research can also help make a more informed decision.