How To Write Covered Calls - An Ongoing Real Case Study! Message Board

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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: George the Greek who wrote (13452)	12/7/2000 2:04:12 PM
From: Bill Larsen	Read Replies (1) of 14162

George, If my shares are called, do I pay a commission? From callsandputs.com Commissions - Check with your broker about commissions charged when purchasing stock as well as writing covered calls. You will be charged commissions for purchasing stock, selling the CC and selling your stock if the call option you have sold is called out (exercised). from CBOE web site (FAQ). If I am long: What happens to my option if I do nothing? If you bought a call or put you would lose the premium you paid for the option plus whatever costs you incurred on that transaction. If you sold a call or a put and your option is in-the-money you will most likely be assigned and you will have to sell or buy stock. The CBOE has a good education center. cboe.com -Bill

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