Friday, April 20, 2012

SPY - Closed

The SPDR S&P 500 ETF (SPY) Dec12 85.00 Put was bought back today and the position was closed. All prices include IB commissions.

The put was initially sold for $1.64, excluding commissions, and since the premium declined by more than 50% to $0.80, I decided to buy it back, which increased the annualized return from 2.11% to 4.05%.

Position Summary

Cost Basis$8,500.00
Net Profit$81.95
Percent Return0.96%
Annualized Return4.04%
Days Held to Expiration87 days

Trade History

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
1/24/2012SPYCSP Margin UsedCSP 100 SPY @ 85.00 ($8,500.00) 
1/24/2012SPYInitial Put OptionSTO 1 Dec12 85.00 Put @ 1.63Closed $162.97
4/20/2012SPYBuy BackBTC 1 Dec12 85.00 Put @ -0.81  ($81.02)
4/20/2012SPYCSP Margin ReturnedCSP 100 SPY @ -85.00  $8,500.00
4/20/2012SPY Net Cost/Profit-Loss ($8,500.00)$81.95
DTE87 Percent Profit-Loss/Annualized 0.96%4.04%