Category: Covered Calls
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How to Protect Gains with Options
Most investors are happy with unrealized gains, but there’s always a risk of loss until they sell. Fortunately, there are a couple of options strategies that you can use to…
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How to Get Approved for Option Trading
Options have become a popular way to speculate, hedge against risk, and even generate income. If you’re interested in trading options, you must apply for special permission from your brokerage.…
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How to Find Stocks with High Option Premiums
Stock options provide traders and investors with a lot of flexibility when leveraging returns or generating income. While there are many different strategies, success often boils down to a consistent,…
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How to Find the Right Covered Call Advisor
Stocks, bonds, and funds are the most popular securities for investors to achieve their financial goals. For example, target-date retirement funds provide an easy way to balance growth, risk, and…
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What Is a Poor Man’s Covered Call?
Covered calls are a popular way to generate an income from stock options, but they require a potentially large upfront investment in the underlying stock. While such an investment isn’t…
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How the Wheel Option Strategy Works
There are many different options strategies designed to generate an income. While covered calls are the most popular, traders may also use iron condors, butterfly spreads, diagonal spreads or calendar…
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How to Roll a Covered Call
The stock market is inherently unpredictable and even low-risk strategies can be ruined by new information. For example, covered calls provide a convenient way to boost portfolio income, but there…
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Add Covered Calls to Your Dividend Strategy
Many investors have turned to a dividend strategy as a way to generate income in today’s low interest rate environment. Unfortunately, most high-dividend strategies are relegated to specific sectors, such…
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How Option Greeks Affect Covered Calls
The concept of a stock option is fairly straightforward: It provides the right or obligation to buy or sell a stock at a specified time and price. Of course, the…
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Starting a Position with a Covered Straddle
There are many different option strategies that investors can use to generate an income. While covered calls generate an income from an existing long stock position, a covered straddle can…