Watch Video: Listen To Audio Version: The PMCC allows investors to enter a covered call at a much lower cost than traditional covered call writing. There are pros and cons to this strategy. This podcast will detail how to use Delta to assist in the selection of our long LEAPS position. What is the best […]

BCI PODCAST 100: Analyzing LEAPS for The Poor Man’s Covered call Strategy (PMCC)

What Do Covered Call Writing and Steroids Have in Common?
Most investors view covered call writing as a singular strategy where we buy a stock and then sell an option leveraging that security. In reality, educated option-sellers realize that one of the most remarkable advantages of using this strategy is that it can be crafted to achieve multiple goals and meet the trading style and […]

Naked Options versus Covered Options: Where Should We Take a Stand?
Covered call writing and selling cash-secured puts are more conservative strategies than trading naked options (selling calls and puts without having the resources to execute the potential trade obligations, if exercised). A naked call occurs when a speculator writes (sells) a call option on a security without ownership of that security. It is one of […]

Comparing Covered Call Writing and Selling Cash-Secured Puts
An accepted myth is that covered call writing and selling cash-secured puts are precisely the same strategy. The reason this statement is generally accepted by many investors is that they have the same risk-reward profiles or profit and loss graphs: In this article, other similarities will be discussed as well as some distinct differences […]
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