Sentences with phrase «to sell call options»

By selling call options against stocks you own, you can generate recurring monthly income.

Second, we help people who have large concentrated stock positions generate additional income by selling call options against them.

We like to buy them at a discount to what we believe their fair value is, and then sell call options with strike prices equal to what we feel their fair value is.

Other times, it makes sense not sell any call options at all, often after a sharp correction when markets are expected to rally.

That starts with buying dividend paying stocks and then selling call options against them.

But you can now sell another call option for the next 3 - 4 months and earn another batch of income.

This strategy involves owning an underlying stock while at the same time selling a call option, or giving someone else the right to buy your stock.

If not, your broker has a simple form you fill out in order to sell call options in your account.

A covered call option strategy is implemented by selling a call option contract while owning an equivalent number of shares of the underlying stock.

You shouldn't sell the call option if you do not expect prices to go up - but in that case - why not just buy the underlying alone?

Selling call options generates an income stream for the company.

A covered call strategy involves selling call options (that is, options to buy shares) on stock you own.

To minimize the chances of being called away, the ETF manager sells call options at a strike price that is higher than the prevailing market price.

Discuss with your personal tax advisor how selling call options, purchasing put options or put spreads, and any potential sales of investor assets may affect your tax situation.

An investor selling a call option is known as the writer.

Covered call trading is selling call options backed by stocks owned in the account.

Now that you've purchased the underlying, you need to actually sell the call options.

And you can make a profit by selling your call option outright, transferring your right to buy the shares at that price to someone else.

If you made a winning trade selling call options, your counter party made a losing trade.

The investor owns a stock and sells call options on that same stock to generate income.

In search of extra income, investors sometimes skip bonds — and instead sell call options against their stock portfolio.

Right now that continues to be dividend stocks at reasonable prices with the chance to sell call options at inflated prices.

In order to implement a traditional covered call writing strategy, you must own shares of the stock or ETF and then sell a call option.

You already own the stock so why not make it work for you by selling call options against it?

Selling call options generates a stream of income for this ETF.

Again, they will forfeit any remaining time premium so they would be better off just selling their call option instead of exercising it.

If that buyer decides to exercise his right to buy the stock at $ 50 / share then the person who sold him the call options is obligated to sell 100 shares of ABC stock to him at $ 50 / share.

The fund will also sell call options on these stocks and distribute the income monthly along with the stocks» dividends.

Selling a call option obligates the seller / writer to sell the stock at a predetermined price any time on or before the contract's expiration date.

(Consider selling a call option and not buying the underlying and the price goes from 100 to 1.000.000.000).

You had previously sold a call option with a 40 strike, and that option is currently trading for $ 11 (at parity, no time premium remaining because it's 11 points ITM).

When one of the underlying stocks demonstrates strength or an increase in implied volatility, CWP managers identify that opportunity and sell call options tactically

«The CRA's view is that the writing of a covered call option, whereby a registered plan sells a call option in respect of an underlying property which it already owns, does not result, in and of itself, in the registered plan being considered to be carrying on a business.

This entails buying put options, which give the owner the right to sell the stock at a specified price at a fixed future date, while selling call options, which give the acquirer the right to buy the stock at a set price.

We've talked about using options to supercharge your portfolio before — and this strategy involves selling call options on your existing stock holdings.

Right now, selling a call option for F at 13 would earn you 5 cents, and if the stock goes down, or just fails to go as high as 13, you get to keep that nickel.

Sometimes, it makes sense to sell a call option with a strike price that is much higher or «further out of the money» than the current market price or to select a three - month term instead of a one - month.

Suppose you've sold a call option at a loss.

I then sold another call option on those same shares on October 12, 2015 and generated an additional $ 242 in income.

If you're not planning to keep the stock you buy when you exercise a call option, but instead intend to sell the stock right away, you're almost always better off just selling the call option.

If that buyer decides to exercise his right to buy the stock at $ 35 / share then the person who sold him the call option is obligated to sell 100 shares of XYZ stock to him at $ 35 / share.

You can also sell a call option.

The sources have revealed that according to the deal structure, as far the stakes are concerned, PNB will either sell the put option in the merged set - up within 3 years or AIA and Tata group will sell the call option in 4 - 5 years post merger.

In exchange for putting a cap on your upside (by selling call options on your AXU stock) you gain current income and some downside protection.

For example, selling call options against stock positions you own can provide some downside protection and also produce a nice income stream.

And when you sell a call option, you take on the obligation to potentially sell a stock at a certain price before a certain date.