Covered Call

Why make 2.6% holding the 10-Year note? Selling a covered-call, also known as buy-write, is the only strategy the OCC considers to be ‘non-speculative. Learn the ins and outs of this strategy through this comprehensive course. Learn how to calculate risk, reward and breakeven levels using this strategy. Learn how a trader should select strikes to sell and how to know a good setup when one presents itself.

This is a great strategy for an investor or anyone who does not want to watch their bank yield them 0.4% annually and wants to create an extra dividend stream in an underlying stock.