No money options, “Quick Draws” and “No Money Down” Options
The short analysis is that selling covered calls is, as many of you already know, a perfectly reasonable income strategy and a well-respected way to smooth your returns.
The one thing that often surprises no money options investors, after reading ads like this that promise the moon through this strategy, is that this kind of trading requires a fair amount of capital to start — and it requires a significant level of personal investing discipline, you have to be committed to the trade, not likely to get off track from your plan or start reaching for greater short-term returns than can be gained by selling calls.
To me, though as I said, the details are sketchy, it sounds like a description of selling puts or possibly some kind of shorting of options, if you want no money options get to a second level of complexity.
LEAP Options: The Best Investment Strategy I’ve Ever Seen
The person that sells the put to them, perhaps you in this strategy, is on the other side of that contract. Really know.
And be carefulit was less than a year no money options that people would have said a safe one for this strategy would be something like Citigroup, since it was huge and stable and had a great dividend.
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