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What is a 'Collar'. A collar is a protective options strategy that is implemented after a long position in a stock has experienced substantial gains. An investor can create a collar position by purchasing an out-of-the-money put option while he simultaneously writes an out-of-the-money call option. A collar is also known as hedge wrapper.
Tick collars are a useful preventive, though often only for protecting the cat's neck and head from ticks. Cut off any excess length of collar to prevent your cat from chewing on it, and watch for signs of discomfort (e.g., excessive scratching) in case an allergic reaction occurs.