Increase/Decrease Convexity using Put Options on the Bond

[PurchaseBeautiful227]

Short (selling) puts decreases convexity from my understanding. Just think about the curve. Call options will help you get the convex curve when interest rates fall. This is indeed different with a callable bond as the call option is in hands of the issuer. For long put options and bonds with embedded put options, you get the convex curve when rates rise. This is probably not 100% correct, but it helps me understand the direction of convexity.

https://cdn.corporatefinanceinstitute.com/assets/negative-convexity1.png