Dec 31, 2014
Looking Back on 2014:
- Misperceptions from 2014 - Despite "low" VIX options, volume still strong in 2014. Vol/VIX was too cheap. OTM call buyers did well.
- Ukrainian crisis in Q1/Q2 and market volatility in October were two primary drivers this year.
- The ongoing oil meltdown as well.
- What option strategies worked in...
Dec 10, 2014
Advisors Option 25: Mystery of the Covered Strangle
Options 101: Covered Strangles/Covered Combos
What is it? Long stock, covered call, short put. Why do it? To collect more income than a standard call or short put. Why not do it? Increased margin requirement, you will increase your stock position to the downside.
Note:...
Oct 31, 2014
It is all listener mail today on the Advisors Option, so let's dive in.
- Question from Luke Davis. Hi, I am wondering whether advisers are legally enabled to use any strategy that an individual might use in his own account. In other words, if I allow an adviser to invest a portion of my assets, may he use them for day...
Oct 1, 2014
Options 101: Options on Futures as a Diversification Tool
Futures options strategies. Covered call & Protective puts both require underlying futures positions - Most advisors looking for diversification typically want bullish exposure to the underlying. Stock/Futures replacement strategies. Vertical call spread. Spreads...
Aug 27, 2014
Listener Mail: Listener questions and comments
- Question from Kevin Duggan. Regarding no cost collars with long put LEAPS and short term call writes. How do you manage them when the stock drops? Then the calls. I want to write have little premium since they're now way OTM and, I don't want to lock in a loss by getting...