Sentences with phrase «called high dividend stocks»

So called high dividend stocks are usually from companies that have stable cash flows but relatively little or moderate growth potential.

Not exact matches

Carson says that writing call options on a basket of stocks with high - dividend yields can generate a return of between 10 percent and 15 percent.
During the stock - market rebound that started in mid-March, Hutchinson's calls on gold, commodities and high - yielding dividend stocks made winners of investors who took his advice.
In short, the strategy I'm talking about involves selling a cash - secured put or a covered call on a high - quality dividend growth stock when it's trading at a reasonable price (which is typically at or below fair value).
Our high - yield trading strategy is simple: We sell a cash - secured put or a covered call on a high - quality dividend growth stock when it appears to be trading at a reasonable price.
If you're just joining us, a «10 % Trade» is a conservative income - oriented trade that involves selling either a covered call or a cash - secured put on a high - quality dividend growth stock trading at a reasonable price.
In addition to seeking high - yield dividend stocks, you can also increase the yield by writing call options against them each month.
In other words, I will call it the characteristics of high dividend stocks.
But, having said that, I must add that good dividend - paying stocks, sometimes called «value» stocks, get a higher return and at the same time are less volatile than «growth» stocks.
The issue with high dividend stocks is that typically their betas are so low that the volatility from the underlying call option is not going to buy you much.
Question: Is the sweet spot for covered call stock selection buying solid balance sheet / good cash flow companies with a history of paying a growing dividend (and a payout ration say less than 70 %) during times when implied volatility may be higher (such as now)- so valuations for the stocks you are writing calls on are lower - despite being solid companies.
Using the same pre-existing criteria as in your calls program [e.g., high - grade stocks, dividend payers, names you're comfortable owning long - term], why not sell puts against your cash position.
Even if the underlying is a no - dividend - paying stock, its price is still going to fluctuate, so that there is a higher chance that the American call could be exercised above the strike price than the european, since there is simply a higher chance that S is going to be higher than X on any given day during the period until expiration than ONLY on the day of expiration.
They were indeed the highest yield dividend stocks on the Canadian stock market, but they were not necessarily what you can call «best investments».
In short, the strategy I'm talking about involves selling a cash - secured put or a covered call on a high - quality dividend growth stock when it appears to be trading at a reasonable price (at or below fair value).
Only the most stable, blue - chip, dividend - paying stocks should be purchased, and even then you should write in the money calls with your only goal to generate a return higher than the borrowing cost.
In short, what I'm talking about is selling a cash - secured put or a covered call on a high - quality dividend growth stock when it appears to be trading at a reasonable price (at or below fair value).
COVERED CALL HEDGED BMO EUROPE HIGH DIVIDEND TO CAD ETF (symbol ZWE on Toronto; www.bmo.com/gam/ca/investor/products/etfs) holds mostly high - quality European stoHIGH DIVIDEND TO CAD ETF (symbol ZWE on Toronto; www.bmo.com/gam/ca/investor/products/etfs) holds mostly high - quality European stohigh - quality European stocks.
They are covered calls on low payout ratio stocks identified by Aaron Levitt as good dividend candidates because of their relatively high yields and low ratios.
This was actually a «10 % Trade»... as it involved selling a covered call on a reasonbly - priced, high - quality dividend growth stock — Microsoft.
In short, the strategy I'm talking about — which I call a «10 % Trade» — involves selling either a covered call or a cash - secured put on a high - quality dividend growth stock that's trading at a reasonable price.
In short, a «10 % Trade» is a term Phil and I coined for a conservative income - generating technique that involves selling either a covered call or a put on a high - quality dividend growth stock.
If you're looking for substantially more yield than what's on offer from the broader market (Standard & Poor's 500 - stock index delivers about 1.9 % at present), you'll want to look at so called «high dividend» funds like the HDV.
High dividend stocks, such as utilities, are often called «bond equivalents», because they typically are purchased for their dividend, not growth.
In short, we're selling covered calls and cash - secured puts on high - quality dividend growth stocks when they appear to be trading at or below fair value.
In short, the strategy I'm talking about involves selling a cash - secured put or a covered call on a high - quality dividend growth stock when it's trading at a reasonable price (which is typically at or below fair value).
Combining the call premium with the dividend yield is a good way to substitute high stock yield for low yield bonds.
«Smart beta» ETFs (also called «strategic beta») select stocks based on specific factors like low - volatility, or high dividends, or value.
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