The following adjustment was made today on BJS:
30-Oct-07 - Interim Trade - STO 3 Dec07 27.50 Call @ 0.55 -
Current Position Summary:
Stock Investment: $11,238.00
Income Generated: $2,191.65.00
Percent Income Generated: 19.50%
Annualized Income Generated: 10.24%
Net Profit If Called: -$796.35
Percent Return If Called: -7.09%
Annualized Return If Called: -3.72%
Days to Expiration: 695 days
Trade History:
25-Jan-06 - Initial Stock Position - BTO 200 BJS @ 40.05 -
25-Jan-06 - Initial Call Option - STO 2 Feb06 40.00 Call @ 1.54 - Expired
21-Feb-06 - Continued Trade - STO 2 Apr06 40.00 Call @ 0.49 - Closed
20-Mar-06 - Buy Back - BTC 2 Apr06 40.00 Call @ -0.11 -
20-Mar-06 - Dollar Cost Averaging - BTO 100 BJS @ 32.29 -
20-Mar-06 - Combined Cost Basis - $11,238.00 300 @ 37.46 -
20-Mar-06 - Continued Trade - STO 3 Jul05 37.50 Call @ 0.94 - Expired
14-Jul-06 - Dividend Received - DIV 100 Dividend @ 0.15 -
24-Jul-06 - Interim Trade - STO 3 Oct06 35.00 Call @ 1.19 -
13-Oct-06 - Dividend Received - DIV 300 Dividend @ 0.05 -
23-Oct-06 - Interim Trade - STO 3 Jan07 35.00 Call @ 0.79 -
22-Dec-06 - Buy Back & Roll Out - BTC 3 Jan07 35.00 Call @ -0.11 - Closed
22-Dec-06 - Continued Trade - STO 3 Jul07 35.00 Call @ 1.66 - Closed
12-Jan-07 - Dividend Received - DIV 300 Dividend @ 0.05 -
13-Apr-07 - Dividend Received - DIV 300 Dividend @ 0.05 -
21-Jun-07 - Buy Back & Roll Out/Down - BTC 3 Jul07 35.00 Call @ -0.11 - Closed
21-Jun-07 - Interim Trade - STO 3 Oct07 32.50 Call @ 0.79 - Expired
13-Jul-07 - Dividend Received - DIV 300 Dividend @ 0.05 -
12-Oct-07 - Dividend Received - DIV 300 Dividend @ 0.05 -
30-Oct-07 - Interim Trade - STO 3 Dec07 27.50 Call @ 0.55 -
Tuesday, October 30, 2007
Friday, October 26, 2007
ESV - Adjustment
The following adjustment was made today on ESV:
26-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 2.34 -
Current Position Summary:
Stock Investment: $5,708.00
Income Generated: $543.00
Percent Income Generated: 9.51%
Annualized Income Generated: 69.44%
Net Profit If Called: $335.00
Percent Return If Called: 5.87%
Annualized Return If Called: 42.54%
Days to Expiration: 50 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 ESV @ 57.08 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 3.09 - Expired
26-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 2.34 -
26-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 2.34 -
Current Position Summary:
Stock Investment: $5,708.00
Income Generated: $543.00
Percent Income Generated: 9.51%
Annualized Income Generated: 69.44%
Net Profit If Called: $335.00
Percent Return If Called: 5.87%
Annualized Return If Called: 42.54%
Days to Expiration: 50 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 ESV @ 57.08 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 3.09 - Expired
26-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 2.34 -
Thursday, October 25, 2007
PFCB - Adjustment
The following adjustment was made today on PFCB:
25-Oct-07 - Continued Trade - STO 1 Jan08 35.00 Call @ 0.22 -
Current Position Summary:
Stock Investment: $3,578.00
Income Generated: $291.00
Percent Income Generated: 8.13%
Annualized Income Generated: 19.66%
Net Profit If Called: $213.00
Percent Return If Called: 5.95%
Annualized Return If Called: 14.39%
Days to Expiration: 151 days
Trade History:
20-Aug-07 - Initial Stock Position - BTO 100 PFCB @ 35.78 -
20-Aug-07 - Initial Call Option - STO 1 Sep07 35.00 Call @ 2.30 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 35.00 Call @ 0.39 - Expired
25-Oct-07 - Continued Trade - STO 1 Jan08 35.00 Call @ 0.22 -
25-Oct-07 - Continued Trade - STO 1 Jan08 35.00 Call @ 0.22 -
Current Position Summary:
Stock Investment: $3,578.00
Income Generated: $291.00
Percent Income Generated: 8.13%
Annualized Income Generated: 19.66%
Net Profit If Called: $213.00
Percent Return If Called: 5.95%
Annualized Return If Called: 14.39%
Days to Expiration: 151 days
Trade History:
20-Aug-07 - Initial Stock Position - BTO 100 PFCB @ 35.78 -
20-Aug-07 - Initial Call Option - STO 1 Sep07 35.00 Call @ 2.30 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 35.00 Call @ 0.39 - Expired
25-Oct-07 - Continued Trade - STO 1 Jan08 35.00 Call @ 0.22 -
MCO - Adjustment
The following adjustment was made today on MCO:
25-Oct-07 - Dollar Cost Averaging - BTO 100 MCO @ 44.08 -
25-Oct-07 - Combined Cost Basis - $10,649.00 200 @ 53.25 -
25-Oct-07 - Continued Trade - STO 2 Dec07 55.00 Call @ 0.29 -
Current Position Summary:
Stock Investment: $10,649.00
Income Generated: $682.60
Percent Income Generated: 6.41%
Annualized Income Generated: 13.29%
Net Profit If Called: $1,033.60
Percent Return If Called: 9.71%
Annualized Return If Called: 20.13%
Days to Expiration: 176 days
Trade History:
28-Jun-07 - Initial Stock Position - BTO 100 MCO @ 62.41 -
28-Jun-07 - Initial Call Option - STO 1 Jul07 60.00 Call @ 3.49 - Expired
25-Jul-07 - Continued Trade - STO 1 Aug07 60.00 Call @ 1.54 - Expired
20-Aug-07 - Interim Trade - STO 1 Sep07 55.00 Call @ 0.89 - Expired
10-Sep-07 - Dividend Received - DIV 100 Dividend @ 0.08 -
24-Sep-07 - Interim Trade - STO 1 Oct07 55.00 Call @ 0.24 - Expired
25-Oct-07 - Dollar Cost Averaging - BTO 100 MCO @ 44.08 -
25-Oct-07 - Combined Cost Basis - $10,649.00 200 @ 53.25 -
25-Oct-07 - Continued Trade - STO 2 Dec07 55.00 Call @ 0.29 -
25-Oct-07 - Dollar Cost Averaging - BTO 100 MCO @ 44.08 -
25-Oct-07 - Combined Cost Basis - $10,649.00 200 @ 53.25 -
25-Oct-07 - Continued Trade - STO 2 Dec07 55.00 Call @ 0.29 -
Current Position Summary:
Stock Investment: $10,649.00
Income Generated: $682.60
Percent Income Generated: 6.41%
Annualized Income Generated: 13.29%
Net Profit If Called: $1,033.60
Percent Return If Called: 9.71%
Annualized Return If Called: 20.13%
Days to Expiration: 176 days
Trade History:
28-Jun-07 - Initial Stock Position - BTO 100 MCO @ 62.41 -
28-Jun-07 - Initial Call Option - STO 1 Jul07 60.00 Call @ 3.49 - Expired
25-Jul-07 - Continued Trade - STO 1 Aug07 60.00 Call @ 1.54 - Expired
20-Aug-07 - Interim Trade - STO 1 Sep07 55.00 Call @ 0.89 - Expired
10-Sep-07 - Dividend Received - DIV 100 Dividend @ 0.08 -
24-Sep-07 - Interim Trade - STO 1 Oct07 55.00 Call @ 0.24 - Expired
25-Oct-07 - Dollar Cost Averaging - BTO 100 MCO @ 44.08 -
25-Oct-07 - Combined Cost Basis - $10,649.00 200 @ 53.25 -
25-Oct-07 - Continued Trade - STO 2 Dec07 55.00 Call @ 0.29 -
LM - Adjustment
The following adjustment was made today on LM:
25-Oct-07 - Continued Trade - STO 1 Dec07 85.00 Call @ 2.09 -
Current Position Summary:
Stock Investment: $9,109.00
Income Generated: $838.00
Percent Income Generated: 9.20%
Annualized Income Generated: 22.84%
Net Profit If Called: $229.00
Percent Return If Called: 2.51%
Annualized Return If Called: 6.24%
Days to Expiration: 147 days
Trade History:
27-Jul-07 - Initial Stock Position - BTO 100 LM @ 91.09 -
27-Jul-07 - Initial Call Option - STO 1 Aug07 90.00 Call @ 3.49 - Expired
20-Aug-07 - Continued Trade - STO 1 Sep07 90.00 Call @ 2.09 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 90.00 Call @ 0.47 - Expired
15-Oct-07 - Dividend Received - DIV 100 Dividend @ 0.24 -
25-Oct-07 - Continued Trade - STO 1 Dec07 85.00 Call @ 2.09 -
25-Oct-07 - Continued Trade - STO 1 Dec07 85.00 Call @ 2.09 -
Current Position Summary:
Stock Investment: $9,109.00
Income Generated: $838.00
Percent Income Generated: 9.20%
Annualized Income Generated: 22.84%
Net Profit If Called: $229.00
Percent Return If Called: 2.51%
Annualized Return If Called: 6.24%
Days to Expiration: 147 days
Trade History:
27-Jul-07 - Initial Stock Position - BTO 100 LM @ 91.09 -
27-Jul-07 - Initial Call Option - STO 1 Aug07 90.00 Call @ 3.49 - Expired
20-Aug-07 - Continued Trade - STO 1 Sep07 90.00 Call @ 2.09 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 90.00 Call @ 0.47 - Expired
15-Oct-07 - Dividend Received - DIV 100 Dividend @ 0.24 -
25-Oct-07 - Continued Trade - STO 1 Dec07 85.00 Call @ 2.09 -
Wednesday, October 24, 2007
WMT - Adjustment
The following adjustment was made today on WMT:
24-Oct-07 - Buy Back & Roll Down - BTC 2 Dec07 52.50 Call @ -0.11
24-Oct-07 - Interim Trade - STO 2 Dec07 47.50 Call @ 0.49
Current Position Summary:
Stock Investment: $10,045.00
Income Generated: $339.70
Percent Income Generated: 3.38%
Annualized Income Generated: 5.10%
Net Profit If Called: -$205.30
Percent Return If Called: -2.04%
Annualized Return If Called: -3.08%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 WMT @ 49.26 - VICC
23-Apr-07 - Continued Trade - STO 1 May07 52.50 Call @ 0.10 - Expired
21-May-07 - Interim Trade - STO 1 Jun07 47.50 Call @ 0.59 - Closed
04-Jun-07 - Buy Back & Roll Out/Up - BTC 1 Jun07 47.50 Call @ -3.81 -
04-Jun-07 - Dollar Cost Averaging - BTO 100 WMT @ 51.19 -
04-Jun-07 - Combined Cost Basis - $10,045.00 200 @ 50.23 -
04-Jun-07 - Continued Trade - STO 2 Dec07 52.50 Call @ 2.54 - Closed
24-Oct-07 - Buy Back & Roll Down - BTC 2 Dec07 52.50 Call @ -0.11
24-Oct-07 - Interim Trade - STO 2 Dec07 47.50 Call @ 0.49
Note that as a VICC position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. Front month OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate. The calls are sold far enough OTM to avoid assignment and the need to make any mid-month adjustments.
24-Oct-07 - Buy Back & Roll Down - BTC 2 Dec07 52.50 Call @ -0.11
24-Oct-07 - Interim Trade - STO 2 Dec07 47.50 Call @ 0.49
Current Position Summary:
Stock Investment: $10,045.00
Income Generated: $339.70
Percent Income Generated: 3.38%
Annualized Income Generated: 5.10%
Net Profit If Called: -$205.30
Percent Return If Called: -2.04%
Annualized Return If Called: -3.08%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 WMT @ 49.26 - VICC
23-Apr-07 - Continued Trade - STO 1 May07 52.50 Call @ 0.10 - Expired
21-May-07 - Interim Trade - STO 1 Jun07 47.50 Call @ 0.59 - Closed
04-Jun-07 - Buy Back & Roll Out/Up - BTC 1 Jun07 47.50 Call @ -3.81 -
04-Jun-07 - Dollar Cost Averaging - BTO 100 WMT @ 51.19 -
04-Jun-07 - Combined Cost Basis - $10,045.00 200 @ 50.23 -
04-Jun-07 - Continued Trade - STO 2 Dec07 52.50 Call @ 2.54 - Closed
24-Oct-07 - Buy Back & Roll Down - BTC 2 Dec07 52.50 Call @ -0.11
24-Oct-07 - Interim Trade - STO 2 Dec07 47.50 Call @ 0.49
Note that as a VICC position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. Front month OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate. The calls are sold far enough OTM to avoid assignment and the need to make any mid-month adjustments.
UPS - Adjustment
The following adjustment was made today on UPS:
24-Oct-07 - Continued Trade - STO 1 Dec07 80.00 Call @ 0.35
Current Position Summary:
Stock Investment: $7,193.00
Income Generated: $201.00
Percent Income Generated: 2.79%
Annualized Income Generated: 4.27%
Net Profit If Called: $1,008.00
Percent Return If Called: 14.01%
Annualized Return If Called: 21.40%
Days to Expiration: 239 days
Trade History:
26-Apr-07 - Initial Stock Position - BTO 100 UPS @ 71.93 - VICC
26-Apr-07 - Continued Trade - STO 1 May07 75.00 Call @ 0.10 - Expired
21-May-07 - Continued Trade - STO 1 Jul07 75.00 Call @ 0.39 - Closed
05-Jun-07 - Dividend Received - DIV 100 Dividend @ 0.42 -
18-Jul-07 - Buy Back & Roll Out/Up - BTC 1 Jul07 75.00 Call @ -0.56 -
18-Jul-07 - Continued Trade - STO 1 Oct07 80.00 Call @ 0.89 -
24-Oct-07 - Continued Trade - STO 1 Dec07 80.00 Call @ 0.35
Note that as a VICC position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. Front month OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate. The calls are sold far enough OTM to avoid assignment and the need to make any mid-month adjustments.
24-Oct-07 - Continued Trade - STO 1 Dec07 80.00 Call @ 0.35
Current Position Summary:
Stock Investment: $7,193.00
Income Generated: $201.00
Percent Income Generated: 2.79%
Annualized Income Generated: 4.27%
Net Profit If Called: $1,008.00
Percent Return If Called: 14.01%
Annualized Return If Called: 21.40%
Days to Expiration: 239 days
Trade History:
26-Apr-07 - Initial Stock Position - BTO 100 UPS @ 71.93 - VICC
26-Apr-07 - Continued Trade - STO 1 May07 75.00 Call @ 0.10 - Expired
21-May-07 - Continued Trade - STO 1 Jul07 75.00 Call @ 0.39 - Closed
05-Jun-07 - Dividend Received - DIV 100 Dividend @ 0.42 -
18-Jul-07 - Buy Back & Roll Out/Up - BTC 1 Jul07 75.00 Call @ -0.56 -
18-Jul-07 - Continued Trade - STO 1 Oct07 80.00 Call @ 0.89 -
24-Oct-07 - Continued Trade - STO 1 Dec07 80.00 Call @ 0.35
Note that as a VICC position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. Front month OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate. The calls are sold far enough OTM to avoid assignment and the need to make any mid-month adjustments.
MDT - Adjustment
The following adjustment was made today on MDT:
24-Oct-07 - Buy Back & Roll Down - BTC 1 Nov07 57.50 Call @ -0.06 -
24-Oct-07 - Continued Trade - STO 1 Dec07 52.50 Call @ 0.39 -
Current Position Summary:
Stock Investment: $5,272.00
Income Generated: $222.50
Percent Income Generated: 4.22%
Annualized Income Generated: 6.37%
Net Profit If Called: $200.50
Percent Return If Called: 3.80%
Annualized Return If Called: 5.74%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 MDT @ 52.72 - VICC
23-Apr-07 - Continued Trade - STO 1 May07 55.00 Call @ 0.19 - Expired
21-May-07 - Continued Trade - STO 1 Jun07 52.50 Call @ 0.59 - Closed
15-Jun-07 - Buy Back & Roll Out/Up - BTC 1 Jun07 52.50 Call @ -0.06
15-Jun-07 - Initial Call Option - STO 1 Jul07 55.00 Call @ 0.49 - Expired
25-Jul-07 - Continued Trade - STO 1 Sep07 55.00 Call @ 0.63 - Closed
27-Jul-07 - Dividend Received - DIV 100 Dividend @ 0.13
21-Sep-07 - Buy Back & Roll Out/Up - BTC 1 Sep07 55.00 Call @ -1.46
21-Sep-07 - Continued Trade - STO 1 Nov07 57.50 Call @ 1.39 - Closed
24-Oct-07 - Buy Back & Roll Down - BTC 1 Nov07 57.50 Call @ -0.06 -
24-Oct-07 - Continued Trade - STO 1 Dec07 52.50 Call @ 0.39 -
Note that as a Value Investing Covered Call (VICC) position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate.
24-Oct-07 - Buy Back & Roll Down - BTC 1 Nov07 57.50 Call @ -0.06 -
24-Oct-07 - Continued Trade - STO 1 Dec07 52.50 Call @ 0.39 -
Current Position Summary:
Stock Investment: $5,272.00
Income Generated: $222.50
Percent Income Generated: 4.22%
Annualized Income Generated: 6.37%
Net Profit If Called: $200.50
Percent Return If Called: 3.80%
Annualized Return If Called: 5.74%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 MDT @ 52.72 - VICC
23-Apr-07 - Continued Trade - STO 1 May07 55.00 Call @ 0.19 - Expired
21-May-07 - Continued Trade - STO 1 Jun07 52.50 Call @ 0.59 - Closed
15-Jun-07 - Buy Back & Roll Out/Up - BTC 1 Jun07 52.50 Call @ -0.06
15-Jun-07 - Initial Call Option - STO 1 Jul07 55.00 Call @ 0.49 - Expired
25-Jul-07 - Continued Trade - STO 1 Sep07 55.00 Call @ 0.63 - Closed
27-Jul-07 - Dividend Received - DIV 100 Dividend @ 0.13
21-Sep-07 - Buy Back & Roll Out/Up - BTC 1 Sep07 55.00 Call @ -1.46
21-Sep-07 - Continued Trade - STO 1 Nov07 57.50 Call @ 1.39 - Closed
24-Oct-07 - Buy Back & Roll Down - BTC 1 Nov07 57.50 Call @ -0.06 -
24-Oct-07 - Continued Trade - STO 1 Dec07 52.50 Call @ 0.39 -
Note that as a Value Investing Covered Call (VICC) position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate.
EXP - Adjustment
The following adjustment was made today on EXP:
24-Oct-07 - Buy Back & Roll Down - BTC 1 Jan08 55.00 Call @ -0.16 -
24-Oct-07 - Dollar Cost Averaging - BTO 100 EXP @ 37.94 -
24-Oct-07 - Combined Cost Basis - $10,856.00 200 @ 54.28 -
24-Oct-07 - Interim Trade - STO 2 Jan08 45.00 Call @ 0.69 -
Current Position Summary:
Stock Investment: $10,854.00
Income Generated: $1,439.35
Percent Income Generated: 13.26%
Annualized Income Generated: 7.63%
Net Profit If Called: -$414.65
Percent Return If Called: -3.82%
Annualized Return If Called: -2.20%
Days to Expiration: 634 days
Trade History:
24-Apr-06 - Initial Stock Position - BTO 100 EXP @ 70.60 -
24-Apr-06 - Initial Call Option - STO 1 May06 65.00 Call @ 8.29 - Expired
22-May-06 - Continued Trade - STO 1 Oct06 60.00 Call @ 2.39 -
20-Jul-06 - Dividend Received - DIV 100 Dividend @ 0.18 -
25-Jul-06 - Buy Back & Roll Out/Down - BTC 1 Oct06 60.00 Call @ -0.21 - Closed
25-Jul-06 - Interim Trade - STO 1 Jan07 50.00 Call @ 2.19 - Closed
23-Oct-06 - Buy Back & Roll Down - BTC 1 Jan07 50.00 Call @ -0.26 -
23-Oct-06 - Interim Trade - STO 1 Jan07 40.00 Call @ 1.34 - Closed
02-Nov-06 - Dividend Received - DIV 100 Dividend @ 0.18 -
19-Dec-06 - Buy Back & Roll Out/Up - BTC 1 Jan07 40.00 Call @ -3.41 -
19-Dec-06 - Interim Trade - STO 1 Jul07 45.00 Call @ 4.39 - Closed
05-Jul-07 - Buy Back & Roll Out/Up - BTC 1 Jul07 45.00 Call @ -5.41 -
05-Jul-07 - Interim Trade - STO 1 Jan08 55.00 Call @ 3.29 - Closed
20-Jul-07 - Dividend Received - DIV 100 Dividend @ 0.20 -
24-Oct-07 - Buy Back & Roll Down - BTC 1 Jan08 55.00 Call @ -0.16 -
24-Oct-07 - Dollar Cost Averaging - BTO 100 EXP @ 37.94 -
24-Oct-07 - Combined Cost Basis - $10,856.00 200 @ 54.28 -
24-Oct-07 - Interim Trade - STO 2 Jan08 45.00 Call @ 0.69 -
EXP is down about 46% from my original purchase price. Again, I still like the company so I decided to average down. By averaging down I reduced my cost basis from 70.66 to 54.28 (23%), so the stock is now down only 30%, instead of 46%, from my average cost basis. I then sold a Jan 45.00, which is an interim trade, meaning I don't want to let the stock get called away at this price since it'll result in a loss.
24-Oct-07 - Buy Back & Roll Down - BTC 1 Jan08 55.00 Call @ -0.16 -
24-Oct-07 - Dollar Cost Averaging - BTO 100 EXP @ 37.94 -
24-Oct-07 - Combined Cost Basis - $10,856.00 200 @ 54.28 -
24-Oct-07 - Interim Trade - STO 2 Jan08 45.00 Call @ 0.69 -
Current Position Summary:
Stock Investment: $10,854.00
Income Generated: $1,439.35
Percent Income Generated: 13.26%
Annualized Income Generated: 7.63%
Net Profit If Called: -$414.65
Percent Return If Called: -3.82%
Annualized Return If Called: -2.20%
Days to Expiration: 634 days
Trade History:
24-Apr-06 - Initial Stock Position - BTO 100 EXP @ 70.60 -
24-Apr-06 - Initial Call Option - STO 1 May06 65.00 Call @ 8.29 - Expired
22-May-06 - Continued Trade - STO 1 Oct06 60.00 Call @ 2.39 -
20-Jul-06 - Dividend Received - DIV 100 Dividend @ 0.18 -
25-Jul-06 - Buy Back & Roll Out/Down - BTC 1 Oct06 60.00 Call @ -0.21 - Closed
25-Jul-06 - Interim Trade - STO 1 Jan07 50.00 Call @ 2.19 - Closed
23-Oct-06 - Buy Back & Roll Down - BTC 1 Jan07 50.00 Call @ -0.26 -
23-Oct-06 - Interim Trade - STO 1 Jan07 40.00 Call @ 1.34 - Closed
02-Nov-06 - Dividend Received - DIV 100 Dividend @ 0.18 -
19-Dec-06 - Buy Back & Roll Out/Up - BTC 1 Jan07 40.00 Call @ -3.41 -
19-Dec-06 - Interim Trade - STO 1 Jul07 45.00 Call @ 4.39 - Closed
05-Jul-07 - Buy Back & Roll Out/Up - BTC 1 Jul07 45.00 Call @ -5.41 -
05-Jul-07 - Interim Trade - STO 1 Jan08 55.00 Call @ 3.29 - Closed
20-Jul-07 - Dividend Received - DIV 100 Dividend @ 0.20 -
24-Oct-07 - Buy Back & Roll Down - BTC 1 Jan08 55.00 Call @ -0.16 -
24-Oct-07 - Dollar Cost Averaging - BTO 100 EXP @ 37.94 -
24-Oct-07 - Combined Cost Basis - $10,856.00 200 @ 54.28 -
24-Oct-07 - Interim Trade - STO 2 Jan08 45.00 Call @ 0.69 -
EXP is down about 46% from my original purchase price. Again, I still like the company so I decided to average down. By averaging down I reduced my cost basis from 70.66 to 54.28 (23%), so the stock is now down only 30%, instead of 46%, from my average cost basis. I then sold a Jan 45.00, which is an interim trade, meaning I don't want to let the stock get called away at this price since it'll result in a loss.
CHS - Adjustment
The following adjustment was made today on CHS:
24-Oct-07 - Buy Back - BTC 1 Nov07 25.00 Call @ -0.04 -
24-Oct-07 - Dollar Cost Averaging - BTO 200 CHS @ 12.66 -
24-Oct-07 - Combined Cost Basis - $5,042.00 300 @ 16.81 -
24-Oct-07 - Interim Trade - STO 3 Dec07 15.00 Call @ 0.39 - Expired
Current Position Summary:
Stock Investment: $5,042.00
Income Generated: $374.90
Percent Income Generated: 7.44%
Annualized Income Generated: 14.67%
Net Profit If Called: -$167.10
Percent Return If Called: -3.31%
Annualized Return If Called: -6.54%
Days to Expiration: 185 days
Trade History:
19-Jun-07 - Initial Stock Position - BTO 100 CHS @ 25.11 -
19-Jun-07 - Initial Call Option - STO 1 Nov07 25.00 Call @ 2.61 - Closed
24-Oct-07 - Buy Back - BTC 1 Nov07 25.00 Call @ -0.04 -
24-Oct-07 - Dollar Cost Averaging - BTO 200 CHS @ 12.66 -
24-Oct-07 - Combined Cost Basis - $5,042.00 300 @ 16.81 -
24-Oct-07 - Interim Trade - STO 3 Dec07 15.00 Call @ 0.39 -
CHS is down about 50% from my original purchase price. Since I still like this company I decided to average down and buy an additional 200 shares, which still keeps me within my 5% position limit. By averaging down I reduced my cost basis from 25.11 to 16.81 (33%), so the stock is now down only 33%, instead of 50%, from my average cost basis. I then sold a Dec 15.00, which is an interim trade, meaning I don't want to let the stock get called away at this price since it'll result in a loss.
This is one reason why I start with small positions and don't commit the entire 5% of capital to a position in the beginning. If a stock declines I can then average down up to the 5% limit, which reduces my cost basis.
24-Oct-07 - Buy Back - BTC 1 Nov07 25.00 Call @ -0.04 -
24-Oct-07 - Dollar Cost Averaging - BTO 200 CHS @ 12.66 -
24-Oct-07 - Combined Cost Basis - $5,042.00 300 @ 16.81 -
24-Oct-07 - Interim Trade - STO 3 Dec07 15.00 Call @ 0.39 - Expired
Current Position Summary:
Stock Investment: $5,042.00
Income Generated: $374.90
Percent Income Generated: 7.44%
Annualized Income Generated: 14.67%
Net Profit If Called: -$167.10
Percent Return If Called: -3.31%
Annualized Return If Called: -6.54%
Days to Expiration: 185 days
Trade History:
19-Jun-07 - Initial Stock Position - BTO 100 CHS @ 25.11 -
19-Jun-07 - Initial Call Option - STO 1 Nov07 25.00 Call @ 2.61 - Closed
24-Oct-07 - Buy Back - BTC 1 Nov07 25.00 Call @ -0.04 -
24-Oct-07 - Dollar Cost Averaging - BTO 200 CHS @ 12.66 -
24-Oct-07 - Combined Cost Basis - $5,042.00 300 @ 16.81 -
24-Oct-07 - Interim Trade - STO 3 Dec07 15.00 Call @ 0.39 -
CHS is down about 50% from my original purchase price. Since I still like this company I decided to average down and buy an additional 200 shares, which still keeps me within my 5% position limit. By averaging down I reduced my cost basis from 25.11 to 16.81 (33%), so the stock is now down only 33%, instead of 50%, from my average cost basis. I then sold a Dec 15.00, which is an interim trade, meaning I don't want to let the stock get called away at this price since it'll result in a loss.
This is one reason why I start with small positions and don't commit the entire 5% of capital to a position in the beginning. If a stock declines I can then average down up to the 5% limit, which reduces my cost basis.
Monday, October 22, 2007
WFMI - Adjustment
The following adjustment was made today on WFMI:
22-Oct-07 - Continued Trade - STO 2 Dec07 50.00 Call @ 2.64 -
Current Position Summary:
Stock Investment: $8,563.00
Income Generated: $798.00
Percent Income Generated: 9.32%
Annualized Income Generated: 14.06%
Net Profit If Called: $2,235.00
Percent Return If Called: 26.10%
Annualized Return If Called: 39.37%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 WFMI @ 47.19 - VICC
23-Apr-07 - Initial Call Option - STO 1 May07 50.00 Call @ 0.83 - Expired
21-May-07 - Interim Trade - STO 1 Jul07 45.00 Call @ 0.24 - Closed
21-Jun-07 - Buy Back and Roll Out - BTC 1 Jul07 45.00 Call @ -0.03 -
21-Jun-07 - Dollar Cost Averaging - BTO 100 WFMI @ 38.44 -
21-Jun-07 - Combined Cost Basis - $8,563.00 200 @ 42.82 -
21-Jun-07 - Continued Trade - STO 2 Aug07 45.00 Call @ 0.29 - Expired
24-Jul-07 - Dividend Received - DIV 200 Dividend @ 0.18 -
20-Aug-07 - Continued Trade - STO 2 Sep07 50.00 Call @ 0.20 - Expired
24-Sep-07 - Continued Trade - STO 2 Oct07 50.00 Call @ 0.16 - Expired
22-Oct-07 - Continued Trade - STO 2 Dec07 50.00 Call @ 2.64 -
Note that as a Value Investing Covered Call (VICC) position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate.
22-Oct-07 - Continued Trade - STO 2 Dec07 50.00 Call @ 2.64 -
Current Position Summary:
Stock Investment: $8,563.00
Income Generated: $798.00
Percent Income Generated: 9.32%
Annualized Income Generated: 14.06%
Net Profit If Called: $2,235.00
Percent Return If Called: 26.10%
Annualized Return If Called: 39.37%
Days to Expiration: 242 days
Trade History:
23-Apr-07 - Initial Stock Position - BTO 100 WFMI @ 47.19 - VICC
23-Apr-07 - Initial Call Option - STO 1 May07 50.00 Call @ 0.83 - Expired
21-May-07 - Interim Trade - STO 1 Jul07 45.00 Call @ 0.24 - Closed
21-Jun-07 - Buy Back and Roll Out - BTC 1 Jul07 45.00 Call @ -0.03 -
21-Jun-07 - Dollar Cost Averaging - BTO 100 WFMI @ 38.44 -
21-Jun-07 - Combined Cost Basis - $8,563.00 200 @ 42.82 -
21-Jun-07 - Continued Trade - STO 2 Aug07 45.00 Call @ 0.29 - Expired
24-Jul-07 - Dividend Received - DIV 200 Dividend @ 0.18 -
20-Aug-07 - Continued Trade - STO 2 Sep07 50.00 Call @ 0.20 - Expired
24-Sep-07 - Continued Trade - STO 2 Oct07 50.00 Call @ 0.16 - Expired
22-Oct-07 - Continued Trade - STO 2 Dec07 50.00 Call @ 2.64 -
Note that as a Value Investing Covered Call (VICC) position the primary objective is capital appreciation. The stock will be held long term until it reaches or surpasses it's fair value. OTM call options are sold to bring in a small amount of income while waiting for the stock to appreciate.
SNDK - Adjustment
The following adjustment was made today on SNDK:
22-Oct-07 - Continued Trade - STO 2 Nov07 45.00 Call @ 1.64 -
Current Position Summary:
Stock Investment: $10,854.00
Income Generated: $3,297.10
Percent Income Generated: 30.38%
Annualized Income Generated: 19.42%
Net Profit If Called: $1,443.10
Percent Return If Called: 13.30%
Annualized Return If Called: 8.50%
Days to Expiration: 571 days
Trade History:
24-Apr-06 - Initial Stock Position - BTO 100 SNDK @ 59.56 -
24-Apr-06 - Initial Call Option - STO 1 Jul06 57.50 Call @ 7.09 - Closed
06-Jul-06 - Buy Back & Roll Out/Down - BTC 1 Jul06 57.50 Call @ -0.16 -
06-Jul-06 - Dollar Cost Averaging - BTO 100 SNDK @ 48.98 -
06-Jul-06 - Combined Cost Basis - $10,854.00 200 @ 54.27 -
06-Jul-06 - Continued Trade - STO 2 Oct06 55.00 Call @ 3.39 - Expired
23-Oct-06 - Continued Trade - STO 2 Jan07 55.00 Call @ 2.14 - Closed
19-Dec-06 - Buy Back & Roll Out/Down - BTC 2 Jan07 55.00 Call @ -0.16 -
19-Dec-06 - Continued Trade - STO 2 Feb07 50.00 Call @ 1.69 - Closed
06-Feb-07 - Buy Back & Roll Out/Down - BTC 2 Feb07 50.00 Call @ -0.06 -
06-Feb-07 - Interim Trade - STO 2 Apr07 45.00 Call @ 1.39 - Expired
27-Apr-07 - Interim Trade - STO 2 May07 45.00 Call @ 0.84 - Expired
21-May-07 - Interim Trade - STO 2 Jun07 45.00 Call @ 0.98 - Closed
15-Jun-07 - Buy Back & Roll Out/Up - BTC 2 Jun07 45.00 Call @ -1.46 -
15-Jun-07 - Continued Trade - STO 2 Oct07 50.00 Call @ 2.60 - Expired
22-Oct-07 - Continued Trade - STO 2 Nov07 45.00 Call @ 1.64 -
22-Oct-07 - Continued Trade - STO 2 Nov07 45.00 Call @ 1.64 -
Current Position Summary:
Stock Investment: $10,854.00
Income Generated: $3,297.10
Percent Income Generated: 30.38%
Annualized Income Generated: 19.42%
Net Profit If Called: $1,443.10
Percent Return If Called: 13.30%
Annualized Return If Called: 8.50%
Days to Expiration: 571 days
Trade History:
24-Apr-06 - Initial Stock Position - BTO 100 SNDK @ 59.56 -
24-Apr-06 - Initial Call Option - STO 1 Jul06 57.50 Call @ 7.09 - Closed
06-Jul-06 - Buy Back & Roll Out/Down - BTC 1 Jul06 57.50 Call @ -0.16 -
06-Jul-06 - Dollar Cost Averaging - BTO 100 SNDK @ 48.98 -
06-Jul-06 - Combined Cost Basis - $10,854.00 200 @ 54.27 -
06-Jul-06 - Continued Trade - STO 2 Oct06 55.00 Call @ 3.39 - Expired
23-Oct-06 - Continued Trade - STO 2 Jan07 55.00 Call @ 2.14 - Closed
19-Dec-06 - Buy Back & Roll Out/Down - BTC 2 Jan07 55.00 Call @ -0.16 -
19-Dec-06 - Continued Trade - STO 2 Feb07 50.00 Call @ 1.69 - Closed
06-Feb-07 - Buy Back & Roll Out/Down - BTC 2 Feb07 50.00 Call @ -0.06 -
06-Feb-07 - Interim Trade - STO 2 Apr07 45.00 Call @ 1.39 - Expired
27-Apr-07 - Interim Trade - STO 2 May07 45.00 Call @ 0.84 - Expired
21-May-07 - Interim Trade - STO 2 Jun07 45.00 Call @ 0.98 - Closed
15-Jun-07 - Buy Back & Roll Out/Up - BTC 2 Jun07 45.00 Call @ -1.46 -
15-Jun-07 - Continued Trade - STO 2 Oct07 50.00 Call @ 2.60 - Expired
22-Oct-07 - Continued Trade - STO 2 Nov07 45.00 Call @ 1.64 -
PLCM - Adjustment
The following adjustment was made today on PLCM:
22-Oct-07 - Continued Trade - STO 1 Nov07 30.00 Call @ 0.79 -
Current Position Summary:
Stock Investment: $3,164.00
Income Generated: $368.00
Percent Income Generated: 11.63%
Annualized Income Generated: 48.24%
Net Profit If Called: $204.00
Percent Return If Called: 6.45%
Annualized Return If Called: 26.74%
Days to Expiration: 88 days
Trade History:
20-Aug-07 - Initial Stock Position - BTO 100 PLCM @ 31.64 -
20-Aug-07 - Initial Call Option - STO 1 Sep07 30.00 Call @ 2.55 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 30.00 Call @ 0.34 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 30.00 Call @ 0.79 -
22-Oct-07 - Continued Trade - STO 1 Nov07 30.00 Call @ 0.79 -
Current Position Summary:
Stock Investment: $3,164.00
Income Generated: $368.00
Percent Income Generated: 11.63%
Annualized Income Generated: 48.24%
Net Profit If Called: $204.00
Percent Return If Called: 6.45%
Annualized Return If Called: 26.74%
Days to Expiration: 88 days
Trade History:
20-Aug-07 - Initial Stock Position - BTO 100 PLCM @ 31.64 -
20-Aug-07 - Initial Call Option - STO 1 Sep07 30.00 Call @ 2.55 - Expired
24-Sep-07 - Continued Trade - STO 1 Oct07 30.00 Call @ 0.34 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 30.00 Call @ 0.79 -
MM - Closed
The MM position was closed today for a loss. I made an error in judgement on the MM position by neglecting to check the news before establishing the position. MM is being acquired by SIMYY. The Oct07 55.00 call ended OTM on Friday so I decided to sell the stock today since I don't want to hold companies that are being acquired. The following is the trade history and returns, including IB commissions.
Covered Call Results
Stock Investment: $5,543.00
Income Generated: $209.00
Net Profit: -$38.00
Percent Return: -0.69%
Annualized Return: -10.01%
Duration of Trade: 25 days
Buy & Hold Comparison
Opening Price: $55.43
Closing Price: $52.96
P/L per Share: -$2.47
Shares: 100
Dividends: $0.00
Net Profit: -$247.00
Percent Return: -4.46%
Annualized Return: -65.06%
Duration of Trade: 25 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 MM @ 55.43 - Closed
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 2.09 - Expired
22-Oct-07 - Close Position - STC 1 Closed @ 52.96 -
Covered Call Results
Stock Investment: $5,543.00
Income Generated: $209.00
Net Profit: -$38.00
Percent Return: -0.69%
Annualized Return: -10.01%
Duration of Trade: 25 days
Buy & Hold Comparison
Opening Price: $55.43
Closing Price: $52.96
P/L per Share: -$2.47
Shares: 100
Dividends: $0.00
Net Profit: -$247.00
Percent Return: -4.46%
Annualized Return: -65.06%
Duration of Trade: 25 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 MM @ 55.43 - Closed
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 2.09 - Expired
22-Oct-07 - Close Position - STC 1 Closed @ 52.96 -
KSS - Adjustment
The following adjustment was made today on KSS:
22-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 3.19 -
Current Position Summary:
Stock Investment: $5,690.00
Income Generated: $639.00
Percent Income Generated: 11.23%
Annualized Income Generated: 81.98%
Net Profit If Called: $449.00
Percent Return If Called: 7.89%
Annualized Return If Called: 57.60%
Days to Expiration: 50 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 KSS @ 56.90 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 3.20 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 3.19 -
22-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 3.19 -
Current Position Summary:
Stock Investment: $5,690.00
Income Generated: $639.00
Percent Income Generated: 11.23%
Annualized Income Generated: 81.98%
Net Profit If Called: $449.00
Percent Return If Called: 7.89%
Annualized Return If Called: 57.60%
Days to Expiration: 50 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 KSS @ 56.90 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 55.00 Call @ 3.20 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 55.00 Call @ 3.19 -
CLHB - Adjustment
The following adjustment was made today on CLHB:
22-Oct-07 - Continued Trade - STO 1 Nov07 50.00 Call @ 0.89 -
Current Position Summary:
Stock Investment: $5,350.00
Income Generated: $923.00
Percent Income Generated: 17.25%
Annualized Income Generated: 23.50%
Net Profit If Called: $573.00
Percent Return If Called: 10.71%
Annualized Return If Called: 14.59%
Days to Expiration: 268 days
Trade History:
21-Feb-07 - Initial Stock Position - BTO 100 CLHB @ 53.50 -
21-Feb-07 - Initial Call Option - STO 1 Apr07 50.00 Call @ 5.32 - Expired
23-Apr-07 - Continued Trade - STO 1 May07 50.00 Call @ 0.34 - Expired
21-May-07 - Continued Trade - STO 1 Jun07 50.00 Call @ 0.19 - Expired
19-Jun-07 - Continued Trade - STO 1 Oct07 50.00 Call @ 2.49 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 50.00 Call @ 0.89 -
22-Oct-07 - Continued Trade - STO 1 Nov07 50.00 Call @ 0.89 -
Current Position Summary:
Stock Investment: $5,350.00
Income Generated: $923.00
Percent Income Generated: 17.25%
Annualized Income Generated: 23.50%
Net Profit If Called: $573.00
Percent Return If Called: 10.71%
Annualized Return If Called: 14.59%
Days to Expiration: 268 days
Trade History:
21-Feb-07 - Initial Stock Position - BTO 100 CLHB @ 53.50 -
21-Feb-07 - Initial Call Option - STO 1 Apr07 50.00 Call @ 5.32 - Expired
23-Apr-07 - Continued Trade - STO 1 May07 50.00 Call @ 0.34 - Expired
21-May-07 - Continued Trade - STO 1 Jun07 50.00 Call @ 0.19 - Expired
19-Jun-07 - Continued Trade - STO 1 Oct07 50.00 Call @ 2.49 - Expired
22-Oct-07 - Continued Trade - STO 1 Nov07 50.00 Call @ 0.89 -
Sunday, October 21, 2007
TGT - Closed
The TGT Oct07 60.00 Call was exercised on Fri and the stock was called away for a profit. The following is the trade history and returns, including IB commissions.
Covered Call Results
Stock Investment: $6,213.00
Income Generated: $334.00
Net Profit: $121.00
Percent Return: 1.95%
Annualized Return: 32.31%
Duration of Trade: 22 days
Buy & Hold Comparison
Opening Price: $62.13
Closing Price: $60.76
P/L per Share: -$1.37
Shares: 100
Dividends: $0.00
Net Profit: -$137.00
Percent Return: -2.21%
Annualized Return: -36.58%
Duration of Trade: 22 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 TGT @ 62.13 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 60.00 Call @ 3.34 - Exercised
19-Oct-07 - Option Exercised - EX 1 Oct07 60.00 Call @ 60.00 -
Covered Call Results
Stock Investment: $6,213.00
Income Generated: $334.00
Net Profit: $121.00
Percent Return: 1.95%
Annualized Return: 32.31%
Duration of Trade: 22 days
Buy & Hold Comparison
Opening Price: $62.13
Closing Price: $60.76
P/L per Share: -$1.37
Shares: 100
Dividends: $0.00
Net Profit: -$137.00
Percent Return: -2.21%
Annualized Return: -36.58%
Duration of Trade: 22 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 TGT @ 62.13 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 60.00 Call @ 3.34 - Exercised
19-Oct-07 - Option Exercised - EX 1 Oct07 60.00 Call @ 60.00 -
NKE - Closed
The NKE Oct07 57.50 Call was exercised on Fri and the stock was called away for a profit. The following is the trade history and returns, including IB commissions.
Covered Call Results
Stock Investment: $5,814.00
Income Generated: $170.00
Net Profit: $106.00
Percent Return: 1.82%
Annualized Return: 30.25%
Duration of Trade: 22 days
Buy & Hold Comparison
Opening Price: $58.14
Closing Price: $63.32
P/L per Share: $5.18
Shares: 100
Dividends: $0.00
Net Profit: $518.00
Percent Return: 8.91%
Annualized Return: 147.82%
Duration of Trade: 22 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 NKE @ 58.14 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 57.50 Call @ 1.70 - Exercised
19-Oct-07 - Option Exercised - EX 1 Oct07 57.50 Call @ 57.50 -
Covered Call Results
Stock Investment: $5,814.00
Income Generated: $170.00
Net Profit: $106.00
Percent Return: 1.82%
Annualized Return: 30.25%
Duration of Trade: 22 days
Buy & Hold Comparison
Opening Price: $58.14
Closing Price: $63.32
P/L per Share: $5.18
Shares: 100
Dividends: $0.00
Net Profit: $518.00
Percent Return: 8.91%
Annualized Return: 147.82%
Duration of Trade: 22 days
Trade History:
27-Sep-07 - Initial Stock Position - BTO 100 NKE @ 58.14 -
27-Sep-07 - Initial Call Option - STO 1 Oct07 57.50 Call @ 1.70 - Exercised
19-Oct-07 - Option Exercised - EX 1 Oct07 57.50 Call @ 57.50 -
Wednesday, October 3, 2007
KOMG - Closed
The KOMG position was closed today for a profit. KOMG was acquired by Western Digital for $32.25/share. The acquisition completed and the stock was sold today at the offer price. The following is the trade history and returns, including IB commissions.
Covered Call Results
Stock Investment: $10,638.00
Income Generated: $1,620.25
Net Profit: $657.25
Percent Return: 6.18%
Annualized Return: 4.01%
Duration of Trade: 562 days
Buy & Hold Comparison
Opening Price: $49.87
Closing Price: $32.25
P/L per Share: -$17.62
Shares: 100
Dividends: $0.00
Net Profit: -$1,762.00
Percent Return: -35.33%
Annualized Return: -22.95%
Duration of Trade: 562 days
Trade History:
20-Mar-06 - Initial Stock Position - BTO 100 KOMG @ 49.87 - Closed
20-Mar-06 - Initial Call Option - STO 1 Apr06 45.00 Call @ 5.93 - Expired
24-Apr-06 - Continued Trade - STO 1 Jun06 45.00 Call @ 2.79 - Expired
26-Jun-06 - Continued Trade - STO 1 Dec06 45.00 Call @ 4.89 - Expired
18-Dec-06 - Continued Trade - STO 1 Jun07 45.00 Call @ 2.69 - Closed
19-Mar-07 - Buy Back - BTC 1 Jun07 45.00 Call @ -0.11 -
19-Mar-07 - Dollar Cost Averaging - BTO 100 KOMG @ 31.64 - Closed
19-Mar-07 - Combined Cost Basis - $8,151.00 200 @ 40.76 -
19-Mar-07 - Continued Trade - STO 2 Jun07 35.00 Call @ 1.29 - Expired
19-Jun-07 - Dollar Cost Averaging - BTO 100 KOMG @ 24.87 -
19-Jun-07 - Combined Cost Basis - $10,638.00 300 @ 35.46 -
19-Jun-07 - Interim Trade - STO 3 Dec07 30.00 Call @ 1.39 - Closed
07-Sep-07 - Closed by Merger - BTC 3 Dec07 30.00 Call @ -2.25 -
03-Oct-07 - Closed by Merger - STC 300 Closed @ 32.25 -
This was one of my oldest positions, and not one of my best. Yet, it still closed at a profit even though the stock declined by over 35% and the company was acquired. This shows the benefit of a covered call over buy & hold on a declining stock. The end result was a small annualized gain, not much better than a money market account. But just like a money market account all my capital was returned plus a small profit. Not great, but not bad either.
Covered Call Results
Stock Investment: $10,638.00
Income Generated: $1,620.25
Net Profit: $657.25
Percent Return: 6.18%
Annualized Return: 4.01%
Duration of Trade: 562 days
Buy & Hold Comparison
Opening Price: $49.87
Closing Price: $32.25
P/L per Share: -$17.62
Shares: 100
Dividends: $0.00
Net Profit: -$1,762.00
Percent Return: -35.33%
Annualized Return: -22.95%
Duration of Trade: 562 days
Trade History:
20-Mar-06 - Initial Stock Position - BTO 100 KOMG @ 49.87 - Closed
20-Mar-06 - Initial Call Option - STO 1 Apr06 45.00 Call @ 5.93 - Expired
24-Apr-06 - Continued Trade - STO 1 Jun06 45.00 Call @ 2.79 - Expired
26-Jun-06 - Continued Trade - STO 1 Dec06 45.00 Call @ 4.89 - Expired
18-Dec-06 - Continued Trade - STO 1 Jun07 45.00 Call @ 2.69 - Closed
19-Mar-07 - Buy Back - BTC 1 Jun07 45.00 Call @ -0.11 -
19-Mar-07 - Dollar Cost Averaging - BTO 100 KOMG @ 31.64 - Closed
19-Mar-07 - Combined Cost Basis - $8,151.00 200 @ 40.76 -
19-Mar-07 - Continued Trade - STO 2 Jun07 35.00 Call @ 1.29 - Expired
19-Jun-07 - Dollar Cost Averaging - BTO 100 KOMG @ 24.87 -
19-Jun-07 - Combined Cost Basis - $10,638.00 300 @ 35.46 -
19-Jun-07 - Interim Trade - STO 3 Dec07 30.00 Call @ 1.39 - Closed
07-Sep-07 - Closed by Merger - BTC 3 Dec07 30.00 Call @ -2.25 -
03-Oct-07 - Closed by Merger - STC 300 Closed @ 32.25 -
This was one of my oldest positions, and not one of my best. Yet, it still closed at a profit even though the stock declined by over 35% and the company was acquired. This shows the benefit of a covered call over buy & hold on a declining stock. The end result was a small annualized gain, not much better than a money market account. But just like a money market account all my capital was returned plus a small profit. Not great, but not bad either.
Monday, October 1, 2007
A Record Month
September set a new monthly record with 1310 visitors and 2452 page views to this blog and 89 new members joining the JustCoveredCalls Yahoo group. Awesome!
I established this blog and discussion group to help educate people on covered calls by allowing them to follow an actual portfolio. There's a lot of misinformation out there on covered calls, both pro and con. I decided to put my money where my mouth is and show people what a real covered call portfolio can do, good or bad. I'm not trying to convince anyone that covered calls are best or that my method is best. This is just one method of investing. There are many others. But by watching my portfolio, reading my blog posts, and participating in the discussion group, hopefully, some people will benefit from the information.
If you've found this blog and discussion group useful, then spread the word. The more people we have to share ideas the more benefit for all of us. I don't claim to be an expert, just a student and practitioner of covered calls. The discussions have been beneficial to me also, since they provide a different perspective.
I'd like to thank everyone for their encouragement and support. This has been a very rewarding experience so far, and I hope it continues far into the future.
I established this blog and discussion group to help educate people on covered calls by allowing them to follow an actual portfolio. There's a lot of misinformation out there on covered calls, both pro and con. I decided to put my money where my mouth is and show people what a real covered call portfolio can do, good or bad. I'm not trying to convince anyone that covered calls are best or that my method is best. This is just one method of investing. There are many others. But by watching my portfolio, reading my blog posts, and participating in the discussion group, hopefully, some people will benefit from the information.
If you've found this blog and discussion group useful, then spread the word. The more people we have to share ideas the more benefit for all of us. I don't claim to be an expert, just a student and practitioner of covered calls. The discussions have been beneficial to me also, since they provide a different perspective.
I'd like to thank everyone for their encouragement and support. This has been a very rewarding experience so far, and I hope it continues far into the future.
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