Most traders don’t struggle with covered calls because the strategy is broken. It’s because they start in the wrong place: Scrolling through random tickers, chasing yield, or forcing trades on stocks ...
Derivatives like options can be risky securities to trade especially if you don’t have a strategy. For many traders during the pandemic years, options were used to speculate on volatile stocks. But ...
Covered calls are a common investment strategy. This strategy involves owning stocks and selling call options on them. By selling call options, investors earn extra income from option premiums while ...
Portions of this article were drafted using an in-house natural language generation platform. The article was reviewed, fact-checked and edited by our editorial staff. A covered call is an options ...
Given the prolonged market uncertainty of the last 18 months, it’s no wonder that investors increasingly turn to covered calls to maximize equity income potential. Covered call ETFs continue to ...
An investor would sell a put option if their outlook on the underlying was bullish and would sell a call option if their ...
The Goldman Sachs S&P 500 Premium Income ETF offers high income and upside via a covered call strategy focused on Magnificent 7 tech stocks. GPIX has outperformed SPYI by 10.25 PP since inception, ...
The covered strangle combines two option strategies: a Covered Call and a Cash-Secured Put. Using IWM as an example, you already own or buy 100 shares of the ETF, sell one call short and sell one put ...
How should investors construct their portfolios? Rob Isbitts recommends playing offense and defense in the market. Covered call ETFs like JEPI may be overrated and vulnerable in a worsening market due ...
Covered calls and covered options in general offer a unique benefit for traders. Over the long term selling options against a long or short underlying position reduces volatility without impairing ...