COP - New Position

A new position was established today on ConocoPhillips (COP). The following is the trade information, including IB commissions:

25-Jun-09 - Initial Put Option - STO 1 Jul09 41.00 Put @ 1.14
25-Jun-09 - Cash to Secure Put - CSP 100 COP @ 41.00

ConocoPhillips is a fundamentally solid narrow moat company, with 10 consecutive years of positive cash flow, and 8 consecutive years of dividend increases.

I analyzed doing either a covered call (CC) or a cash secured put (CSP) and decided to do the CSP, since it had a slightly better profit than the CC.

Cash to Secure Put: $4,100.00
Income Generated: $114.25
Percent Income Generated: 2.79%
Annualized Income Generated: 46.23%
Net Profit If Expired: $114.25
Percent Return If Expired: 2.79%
Annualized Return If Expired:
Days Held to Expiration: 22 days