SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: JungleCat who wrote (13492)1/22/2001 11:48:21 AM
From: BDR  Read Replies (1) of 14162
 
Re: Deep ITM calls on MU

Using the calculator here:
optionstrategist.com
and Fidelity's commissions schedule, I get a return of 3.21% for the covered call you describe. Not startling, but better than a MMF. I would guess that it will be a pretty safe bet and if you repeat that every month you have a 40+% annual return, beating the market indices and most professional money managers in an average year. At least that is why I would see someone doing that trade.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext