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Strategies & Market Trends : Option Strategies -- Ignore unavailable to you. Want to Upgrade?

To: robert b furman who wrote (2321)	1/24/2022 10:23:57 AM
From: robert b furman	Read Replies (1) \| Respond to of 2591

Taking on some risk as this sell off is getting a bit long in tooth. Should be a bounce after this second largest option expiration that happened last Friday maybe this afternoon or tomorrow. Filled the KMI January 2023 15's@$1.35's If assigned, div yield = 8.13. Have now sold 20 @ 1.15 , 10 @ 1.25, 10 @ 1.35 , average = $1.225. Cash received so far = $4490. 4000 x 15.00 = $60,000 - 4900 = Net assigned cost = $55,100/4000 shares. Average cost = 13.775. 1.225 / 13.775 = 8.89292 annualized (/.9167 11 months) = 9.7% annualized return on collateralized cash. I'll take either outcome better than a bank offers. Prefer the 8.13% dividend yield at lower taxation rates. Never sell a put on a stock unless you want to buy it! Just sold 10 KMI January 2023 15's @$1.45, markets giving me cash to take on their worry! net assigned purchase price is $13.55 dividend yield of 8.19%. Things are getting juicy now! Bob