May 31, 2014 | Investment Basics, Stock Investing
In Volume 1 of the Complete Encyclopedia for Covered Call Writing, I addressed the importance of compounding profits and discussed the Rule of 72 (the time it takes to double your money based on annualized return on investments). In this related article, I will...
May 24, 2014 | Investment Basics, Option Trading Basics, Options Calculations, Stock Option Strategies
Covered call writing is a strategy we use to generate consistent monthly cash flow, re-invest profits and ultimately to become financially independent. We strive to beat the market by using sound fundamental, technical and common sense principles. But why are we...
May 17, 2014 | Exchange-Traded Funds, Investment Basics, Option Trading Basics, Stock Option Strategies
Covered call writing is a stock option strategy with primary goals of income generation and capital preservation. Most of us are conservative investors who use the power of education to master an investment strategy better than most everyone else using the same...
May 10, 2014 | Investment Basics, Option Trading Basics, Options Calculations, Stock Option Strategies
Covered call writing is a strategy that can be applied in several different manners. I have written about generating monthly cash flow, the main reason we use this great strategy. But it also can be used to augment long-term buy-and-hold portfolios, enhance dividend...
May 3, 2014 | Investment Basics, Option Trading Basics, Options Calculations, Stock Option Strategies
LEAPS are long-term options with expirations usually greater than 1 year. Some investors buy LEAPS instead of stocks to then write covered calls on this leveraged type of security. This is related to, but not recisely the same, as traditional covered call writing. The...