their hedges suckthey are already way offside and they go thru all these machinations to reduce put premium and end up with a hedge profile which is rather amateruish. These 3 way puts mean they get ehdge protection from 40 down to 30 but give up 100% of upside above 50-56. Its dumb. The puts should be more comprehensive and the upside to oil should be at 65 and above not from mid 50s . The hedging gets a D grade rom me . I am 100% convinced that I could have structured better hedges here.
Like cover some of the downside puts into the oil rally to allow more protection. Bad hedges .