Retail investor: I buy puts to protect my portfolio in case of a crash.

Me: How often does that protection actually pay off?
Retail investor: Almost never honestly. But I sleep better.
Me: So you're paying a bill every month for insurance you almost never use, and it drags your returns the entire time?
Retail investor: …I never really did the math on it.
Me: I don't buy puts. I SELL them. I'm the one collecting that fear money instead of paying it out.
Retail investor: But what protects YOU in a crash?
Me: I only own great companies I bought for less than they're worth, I'm never over leveraged, and a crash is my biggest buying opportunity of the year. That's the protection.
Don't bleed money every month on crash insurance you'll likely never cash in.
Be the one collecting that premium, not the one paying it.
More money was lost preparing for crashes than what was actually lost in the crash itself.