Session 1: Covered Calls: Why They're Used and How to Make Adjustments
The covered call is a widely used income-producing strategy, one that can be employed by individual investors and large institutions alike. In this session, we'll start at the beginning, explaining how calls can be sold on an existing holding - but then quickly moving right in to what you have to know about handling actual market conditions. Among the topics we'll cover:
- What investor can do if a stock sells off sharply
- Whether it may be beneficial to hold a position when the underlying rallies above the strike price
- The decisions an investor may face if your stock consolidates
You'll learn through a series of examples, all of which will show you what happens at expiration with the underlying at different levels. Register now for session one.