Overview This is about the CC stocks I purchased and sold the CC OTM Covered Calls. CC is The Chemours Company’s symbol. This is a buy-write strategy. Wilmington, Delaware-based The Chemours Company is a major supplier of performance chemicals that are used in a wide range of end-products and processes….
Category: Covered Calls
Update on SDS Buy-Write Strategy Covered Calls
Overview On 4/12/2012, I initiated a buy-write strategy covered calls with SDS, ProShares UltraShort S&P500. The ETF was acquired at a cost of $10 per share. The covered call contract was written at a cost of $0.55 per contract. The stock’s cost basis was $9.45. What Happened It wasn’t a…
SDS ATM Covered Calls Update – A Buy-Write Strategy
Overview This is about the SDS stocks I bought and sold the SDS ATM Covered Calls. This is a buy-write strategy. Purchased SDS at $10 per share and sold the 6/18/21 $10 Call at $0.55 per call on 4/12/2021. SP 500 closed at 4128 on 4/12/2021. What Happened SDS is…
Build a Portfolio with Dividend-Paying Stocks and Covered Calls to Maximize Returns – Part 2
Benefits of Covered Call Writing Covered calls writing generates returns in three ways: The call writer collects the premium up front. The covered call writer earns any dividends paid on the call-covered stock. The call writer may realize the gain when the underlying stock price goes up. For example, AT&T…
Build a Portfolio with Dividend-Paying Stocks and Covered Calls to Maximize Returns – Part 1
Dividend Stocks Stock dividends are a great way to increase earnings in a low interest rate environment. Combined with the covered call writing strategy, we can increase our returns on investment and minimize the downside risks at the same time. If you don’t need the income from dividends now, you can…