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Tag Archives: Options Industry Council

How Bankruptcy Impacts Call and Put Options

We sell a covered call or cash-secured put and then the underlying company files for bankruptcy. What happens next? How are our positions effected?  Let me premise my remarks by saying how unlikely this scenario is for investors who follow the rigorous screening process of the BCI methodology. But there is a difference between unlikely and impossible […]

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Bernie Madoff strategy

What Do Bernie Madoff and Covered Call Writing Have In Common?

Covered call writing is my favorite stock investment strategy and Bernie Madoff is one of the world’s most infamous sociopaths. How can they exist in the same article title? This week, ABC-TV is showing a mini-series documenting the rise and fall of Bernie Madoff and his $65 billion Ponzi scheme. Madoff never actually ever invested the […]

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