Today's New Positions

I established 6 new CSP positions today. AVP & LOW declined today providing an opportunity to sell CSP's at my target buy price, which is about 30% below my fair value estimate.

Since I was holding over 78% in cash, I decided to sell some deep OTM CSP's on TLT for May expiration. TLT hasn't closed below $88 in several years so I sold 4 different strikes at $85, $86, $87, & $88. With the market overvalued, by the metrics I follow, if there's a correction, TLT should rise as investors flee to the safety of US Treasuries. If that occurs, these puts should expire in May, and free up the cash to pick up any new opportunities that arise.

As a result of today's trades, I'm currently 54% invested and 46% in cash, with 14 open positions, 4 CC positions and 10 CSP positions.

TLT - New Position

A new CSP position was established today on iShares Trust Barclays 20 Year Treasury Bond Fund (TLT). All prices include IB commissions.

This is the fifth position on TLT.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	TLT	CSP Margin Used	CSP 200 TLT @ 88.00		($17,600.00)
3/31/2011	TLT	Initial Put Option	STO 2 May11 88.00 Put @ 0.55			$110.57

Position Summary

Cost Basis	($17,600.00)
Income Generated	$110.57
Percent Income Generated	0.63%
Annualized Income Generated	4.59%
Net Profit If Assigned	$110.57
Percent Return If Assigned	0.63%
Annualized Return If Assigned	4.59%
Days Held to Expiration	50 days

TLT - New Position

A new CSP position was established today on iShares Trust Barclays 20 Year Treasury Bond Fund (TLT). All prices include IB commissions.

This is the fourth position on TBT.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	TLT	CSP Margin Used	CSP 200 TLT @ 87.00		($17,400.00)
3/31/2011	TLT	Initial Put Option	STO 2 May11 87.00 Put @ 0.36			$72.57

Position Summary

Cost Basis	($17,400.00)
Income Generated	$72.57
Percent Income Generated	0.42%
Annualized Income Generated	3.04%
Net Profit If Assigned	$72.57
Percent Return If Assigned	0.42%
Annualized Return If Assigned	3.04%
Days Held to Expiration	50 days

TLT - New Position

A new CSP position was established today on iShares Trust Barclays 20 Year Treasury Bond Fund (TLT). All prices include IB commissions.

This is the third position on TLT.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	TLT	CSP Margin Used	CSP 200 TLT @ 86.00		($17,200.00)
3/31/2011	TLT	Initial Put Option	STO 2 May11 86.00 Put @ 0.23			$46.57

Position Summary

Cost Basis	($17,200.00)
Income Generated	$46.57
Percent Income Generated	0.27%
Annualized Income Generated	1.98%
Net Profit If Assigned	$46.57
Percent Return If Assigned	0.27%
Annualized Return If Assigned	1.98%
Days Held to Expiration	50 days

TLT - New Position

A new CSP position was established today on iShares Trust Barclays 20 Year Treasury Bond Fund (TLT). All prices include IB commissions.

This is the second position on TLT.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	TLT	CSP Margin Used	CSP 200 TLT @ 85.00		($17,000.00)
3/31/2011	TLT	Initial Put Option	STO 2 May11 85.00 Put @ 0.12			$24.57

Position Summary

Cost Basis	($17,000.00)
Income Generated	$24.57
Percent Income Generated	0.14%
Annualized Income Generated	1.06%
Net Profit If Assigned	$24.57
Percent Return If Assigned	0.14%
Annualized Return If Assigned	1.06%
Days Held to Expiration	50 days

LOW - New Position

A new CSP position was established today on Lowes Companies Inc (LOW). All prices include IB commissions.

Criteria	Value
Dividend Champions Status	Champion
Years of Consecutive Dividend Increases	48
Years of Positive Free Cash Flow (last 10 years)	10
Fair Value Estimate	$36.00
Target Buy Price	$25.00
Target Margin of Safety	30.56%
Actual Buy Price	$25.00
Actual Margin of Safety	30.56%

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	LOW	CSP Margin Used	CSP 200 LOW @ 25.00		($5,000.00)
3/31/2011	LOW	Initial Put Option	STO 2 May11 25.00 Put @ 0.50			$100.57

Position Summary

Cost Basis	($5,000.00)
Income Generated	$100.57
Percent Income Generated	2.01%
Annualized Income Generated	14.68%
Net Profit If Assigned	$100.57
Percent Return If Assigned	2.01%
Annualized Return If Assigned	14.68%
Days Held to Expiration	50 days

AVP - New Position

A new CSP position was established today on Avon Products Inc (AVP). All prices include IB commissions.

Criteria	Value
Dividend Champions Status	Contender
Years of Consecutive Dividend Increases	22
Years of Positive Free Cash Flow (last 10 years)	10
Fair Value Estimate	$36.00
Target Buy Price	$25.00
Target Margin of Safety	30.56%
Actual Buy Price	$25.00
Actual Margin of Safety	30.56%

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/31/2011	AVP	CSP Margin Used	CSP 200 AVP @ 25.00		($5,000.00)
3/31/2011	AVP	Initial Put Option	STO 2 May11 25.00 Put @ 0.43			$85.07

Position Summary

Cost Basis	($5,000.00)
Income Generated	$85.07
Percent Income Generated	1.70%
Annualized Income Generated	12.42%
Net Profit If Assigned	$85.07
Percent Return If Assigned	1.70%
Annualized Return If Assigned	12.42%
Days Held to Expiration	50 days

Today's Closed Positions

Today I decided to close 5 CSP positions, which actually expired on Mar expiration, and the cash to secure the puts was returned on 3/18. So, technically, these positions were already closed, as far as my broker was concerned.

However, I was waiting to decide whether to continue with these positions, by selling the same strike puts, or to close them out. Since the market has continued to rise and the puts were getting further OTM, I decided to just close these positions today.

The date of closure is 3/18, since, as stated above, these were technically closed positions, which were returned to cash on 3/18.

With the rising market, which is overvalued by the metrics I follow (see Market Valuation Meters on the right), it's getting harder to find good opportunities. As a result, I'm currently 22% invested and 78% in cash, with 8 open positions, 4 CC positions and 4 CSP positions.

WMT - Closed

The Wal-Mart Stores Inc (WMT) Mar11 50.00 Put expired on 3/18. Today I decided to close the position. All prices include IB commissions.

Position Summary

Cost Basis	$5,000.00
Net Profit	$40.99
Percent Return	0.82%
Annualized Return	4.16%
Days Held to Expiration	72 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
1/5/2011	WMT	CSP Margin Used	CSP 100 WMT @ 50.00		($5,000.00)
1/5/2011	WMT	Initial Put Option	STO 1 Jan11 24.00 Put @ 0.41	Expired		$40.99
3/18/2011	WMT	CSP Margin Returned	CSP 100 WMT @ -50.00			$5,000.00
3/18/2011	WMT		Net Cost/Profit-Loss		($5,000.00)	$40.99
DTE	72		Percent Profit-Loss/Annualized		0.82%	4.16%

MDT - Closed

The Medtronic Inc (MDT) Mar11 35.00 Put expired on 3/18. Today I decided to close the position. All prices include IB commissions.

Position Summary

Cost Basis	$7,000.00
Net Profit	$156.14
Percent Return	2.23%
Annualized Return	9.36%
Days Held to Expiration	87 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
12/21/2010	MDT	CSP Margin Used	CSP 200 MDT @ 35.00		($7,000.00)
12/21/2010	MDT	Initial Put Option	STO 2 Jan11 35.00 Put @ 0.31	Expired		$61.07
1/24/2011	MDT	Continued Trade	STO 2 Mar11 35.00 Put @ 0.48	Expired		$95.07
3/18/2011	MDT	CSP Margin Returned	CSP 200 MDT @ -35.00			$7,000.00
3/18/2011	MDT		Net Cost/Profit-Loss		($7,000.00)	$156.14
DTE	87		Percent Profit-Loss/Annualized		2.23%	9.36%

LOW - Closed

The Lowes Companies Inc (LOW) Mar11 23.00 Put expired on 3/18. Today I decided to close the position. All prices include IB commissions.

Position Summary

Cost Basis	$4,600.00
Net Profit	$56.57
Percent Return	1.23%
Annualized Return	11.81%
Days Held to Expiration	38 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
2/8/2011	LOW	CSP Margin Used	CSP 200 LOW @ 23.00		($4,600.00)
2/8/2011	LOW	Initial Put Option	STO 2 Mar11 23.00 Put @ 0.28	Expired		$56.57
3/18/2011	LOW	CSP Margin Returned	CSP 200 LOW @ -23.00			$4,600.00
3/18/2011	LOW		Net Cost/Profit-Loss		($4,600.00)	$56.57
DTE	38		Percent Profit-Loss/Annualized		1.23%	11.81%

CL - Closed

The Colgate-Palmolive Company (CL) Mar11 75.00 Put expired on 3/18. Today I decided to close the position. All prices include IB commissions.

Position Summary

Cost Basis	$7,500.00
Net Profit	$297.97
Percent Return	3.97%
Annualized Return	8.19%
Days Held to Expiration	177 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
9/22/2010	CL	CSP Margin Used	CSP 100 CL @ 75.00		($7,500.00)
9/22/2010	CL	Initial Put Option	STO 1 Nov10 75.00 Put @ 1.11	Expired		$110.99
11/22/2010	CL	Continued Trade	STO 1 Jan11 75.00 Put @ 1.10	Expired		$109.99
1/27/2011	CL	Continued Trade	STO 1 Mar11 75.00 Put @ 0.77	Expired		$76.99
3/18/2011	CL	CSP Margin Returned	CSP 100 CL @ -75.00			$7,500.00
3/18/2011	CL		Net Cost/Profit-Loss		($7,500.00)	$297.97
DTE	177		Percent Profit-Loss/Annualized		3.97%	8.19%

ABT - Closed

The Abbott Laboratories (ABT) Mar11 44.00 Put expired on 3/18. Today I decided to close the position. All prices include IB commissions.

Position Summary

Cost Basis	$4,400.00
Net Profit	$33.99
Percent Return	0.77%
Annualized Return	7.42%
Days Held to Expiration	38 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
2/8/2011	ABT	CSP Margin Used	CSP 100 ABT @ 44.00		($4,400.00)
2/8/2011	ABT	Initial Put Option	STO 1 Mar11 44.00 Put @ 0.34	Expired		$33.99
3/18/2011	ABT	CSP Margin Returned	CSP 100 ABT @ -44.00			$4,400.00
3/18/2011	ABT		Net Cost/Profit-Loss		($4,400.00)	$33.99
DTE	38		Percent Profit-Loss/Annualized		0.77%	7.42%

How to Determine the Value of a Stock

For the past several years I've used Morningstar's Premium service for stock valuation. Morningstar uses a Discounted Cash Flow model to determine Fair Value (i.e. intrinsic value), which can get quite complex. In his book, The Intelligent Investor, Benjamin Graham describes a simpler formula to determine intrinsic value.

Formula: V = EPS x (8.5 + 2G) * (4.4 / Y)

where:

• V: Intrinsic Value
  
• EPS: the company’s last 12-month earnings per share
  
• 8.5: the constant represents the appropriate P/E ratio for a no-growth company as proposed by Graham
  
• G: the company’s future long-term (five years) earnings growth estimate
  
• 4.4: the average yield of high-grade corporate bonds in 1962, when this model was introduced
  
• Y: the current yield on AAA corporate bonds
  

I use the modified formula from Old School Value, which uses a P/E of 7 for a no-growth company and a multiplier of 1.5G rather than 2G, since these are more conservative.

Modified Formula: V = EPS x (7 + 1.5G) * (4.4 / Y)

The original formula uses the last 12-month EPS (TTM), however, like Old School Value, I normalize EPS over a 10 year period, which estimates future EPS for the next 5 years, using a linear forecast based on the previous 10 years, and then takes the median of the previous 5 years and next 5 years to arrive at a normalized EPS. For estimated future 5yr growth rate I use 3 different sources, 1) Yahoo Finance, 2) Morningstar, and 3) MSN Money. I found that each site has a different 5yr estimate, so I use an average of these estimates.

Determining intrinsic value, no matter which method/formula is used, relies on estimating earnings and earnings growth, which is nothing more than an educated guess, so it's important to discount whatever valuation you determine. This is a Graham concept known as Margin of Safety. Purchasing stocks with a sufficient Margin of Safety below Fair Value helps to protect against being wrong on the earnings estimates/growth. How much of a Margin of Safety to require depends on your confidence level in the company and the estimates you use. I typically use a Margin of Safety range between 20%-40% below Fair Value.

Once I have all the input parameters I plug them into my spreadsheet, which is a modified version of the one at Old School Value, and calculate the Fair Value and Target Buy Price. I then compare the results to Morningstar's valuation.

Let's look at an example for Abbott Laboratories (ABT) using the modified Graham Formula:

Input	Value
10yr Normalized Earnings	$3.75
Average 5yr Growth Rate	9.29%
20yr AAA Corp Bond Rate	5.44%
Desired Margin of Safety	20%
Results	Value
Fair Value	$64.00
Target Buy Price	$51.00

To compare the Graham Formula to Morningstar's valuation I input Morningstar's Fair Value and Target Buy Price and solve for the implied 5yr growth rate. Here's the same example using Morningstar's Fair Value:

Input	Value
M* Fair Value	$68.00
M* Target Buy Price	$54.00
M* Margin of Safety	20%
10yr Normalized Earnings	$3.75
20yr AAA Corp Bond Rate	5.44%
Results	Value
Implied 5yr Growth Rate	10.28%

As you can see, both valuations are very close, with only a 1% difference in the 5yr growth rate.

Let's do another example, this time for Lowes (LOW) using the modified Graham Formula:

Input	Value
10yr Normalized Earnings	$1.94
Average 5yr Growth Rate	14.60%
20yr AAA Corp Bond Rate	5.44%
Desired Margin of Safety	30%
Results	Value
Fair Value	$45.00
Target Buy Price	$32.00

Here's the same example using the Morningstar's Fair Value:

Input	Value
M* Fair Value	$36.00
M* Target Buy Price	$25.00
M* Margin of Safety	30%
10yr Normalized Earnings	$3.75
20yr AAA Corp Bond Rate	5.44%
Results	Value
Implied 5yr Growth Rate	10.68%

Here you can see that there's almost a $10 difference in Fair Value and a 4% difference in the 5yr growth rate. That's still pretty close. One way to deal with differences is to use an average of both results which would be:

Results	Value
Average Fair Value	$41.00
Average Target Buy Price	$33.00
Average 5yr Growth Rate	12.64%

Now let's look at Pfizer (PFE), where the valuations are very different. Here's the modified Graham Formula:

Input	Value
10yr Normalized Earnings	$1.22
Average 5yr Growth Rate	2.38%
20yr AAA Corp Bond Rate	5.44%
Desired Margin of Safety	30%
Results	Value
Fair Value	$10.00
Target Buy Price	$7.00

Here's the same example using the Morningstar's Fair Value:

Input	Value
M* Fair Value	$26.00
M* Target Buy Price	$18.00
M* Margin of Safety	30%
10yr Normalized Earnings	$1.22
20yr AAA Corp Bond Rate	5.44%
Results	Value
Implied 5yr Growth Rate	12.84%

Morningstar's implied 5yr growth rate is about 10 times greater than the average 5yr estimates. That's a very big difference. Either Morningstar overestimated the growth rate or the analysts underestimated it. Again, you can use the average of both results:

Results	Value
Average Fair Value	$18.00
Average Target Buy Price	$13.00
Average 5yr Growth Rate	7.63%

So, there you have it. A fairly simple way to determine stock valuation and target buy price thanks to Ben Graham. It may not be an exact science, but it's definitely worth the effort.

SYK - Closed

The Stryker Corp (SYK) Mar11 50.00 Call was exercised and the position was closed. All prices include IB commissions.

Position Summary

Cost Basis	$5,000.00
Net Profit	$635.74
Percent Return	12.71%
Annualized Return	15.42%
Days Held to Expiration	301 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
5/21/2010	SYK	CSP Margin Used	CSP 100 SYK @ 50.00		($5,000.00)
5/21/2010	SYK	Initial Put Option	STO 1 Sep10 50.00 Put @ 2.55	Exercised		$254.54
9/17/2010	SYK	CSP Margin Returned	CSP 100 SYK @ -50.00		$5,000.00
9/17/2010	SYK	Stock Assigned	EX 1 Sep10 50.00 Put @ -50.00	Called	($5,000.00)
9/24/2010	SYK	Continued Trade	STO 1 Nov10 50.00 Call @ 1.45	Closed		$145.24
10/29/2010	SYK	Dividend Received	DIV 100 Dividend @ 0.15			$15.00
11/18/2010	SYK	Buy Back and Roll Out	BTC 1 Nov10 50.00 Call @ -1.44			($143.76)
11/18/2010	SYK	Continued Trade	STO 1 Dec10 50.00 Call @ 2.21	Closed		$221.24
12/13/2010	SYK	Buy Back and Roll Out	BTC 1 Dec10 50.00 Call @ -3.26			($325.76)
12/13/2010	SYK	Continued Trade	STO 1 Mar11 50.00 Call @ 4.51	Exercised		$451.24
1/31/2011	SYK	Dividend Received	DIV 100 Dividend @ 0.18			$18.00
3/18/2011	SYK	Stock Called	EX 1 Mar11 50.00 Call @ 50.00			$5,000.00
3/18/2011	SYK		Net Cost/Profit-Loss		($5,000.00)	$635.74
DTE	301		Percent Profit-Loss/Annualized		12.71%	15.42%

TLT - Adjustment

The following adjustment was made today on iShares Trust Barclays 20 Year Treasury Bond Fund (TLT). All prices include IB commissions.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/18/2011	TLT	Buy Back and Roll Out	BTC 1 Mar11 98.00 Put @ -4.81			($481.01)
3/18/2011	TLT	Continued Trade	STO 1 Jun11 98.00 Put @ 6.82			$681.87

Current Position Summary

Cost Basis	($9,800.00)
Income Generated	$555.04
Percent Income Generated	5.66%
Annualized Income Generated	8.08%
Net Profit If Assigned	$555.04
Percent Return If Assigned	5.66%
Annualized Return If Assigned	8.08%
Days Held to Expiration	256 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
10/4/2010	TLT	CSP Margin Used	CSP 100 TLT @ 98.00		($9,800.00)
10/4/2010	TLT	Initial Put Option	STO 1 Nov10 98.00 Put @ 0.49	Closed		$48.99
11/18/2010	TLT	Buy Back and Roll Out	BTC 1 Nov10 98.00 Put @ -2.25			($224.96)
11/18/2010	TLT	Continued Trade	STO 1 Dec10 98.00 Put @ 3.39	Closed		$339.04
12/8/2010	TLT	Buy Back and Roll Out	BTC 1 Dec10 98.00 Put @ -4.96			($495.96)
12/8/2010	TLT	Continued Trade	STO 1 Jan11 98.00 Put @ 5.74	Closed		$573.99
12/28/2010	TLT	Buy Back and Roll Out	BTC 1 Jan11 98.00 Put @ -6.71			($670.96)
12/28/2010	TLT	Continued Trade	STO 1 Mar11 98.00 Put @ 7.84	Closed		$784.04
3/18/2011	TLT	Buy Back and Roll Out	BTC 1 Mar11 98.00 Put @ -4.81			($481.01)
3/18/2011	TLT	Continued Trade	STO 1 Jun11 98.00 Put @ 6.82			$681.87
6/17/2011	TLT		Totals		($9,800.00)	$555.04
DTE	256		Percent Income/Annualized		5.66%	8.08%

TBT - Adjustment

The following adjustment was made on today on ProShares UltraShort 20+ Year Treasury (TBT). All prices include IB commissions.

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/18/2011	TBT	Buy Back and Roll Out/Up	BTC 2 Mar11 41.00 Call @ -0.01			($2.00)
3/18/2011	TBT	Interim Trade	STO 2 Apr11 40.00 Call @ 0.19			$38.57

Current Position Summary

Cost Basis	($9,200.00)
Income Generated	$666.30
Percent Income Generated	7.24%
Annualized Income Generated	7.38%
Net Profit If Assigned	($533.70)
Percent Return If Assigned	-5.80%
Annualized Return If Assigned	-5.91%
Days Held to Expiration	358 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
4/22/2010	TBT	CSP Margin Used	CSP 200 TBT @ 46.00		($9,200.00)
4/22/2010	TBT	Initial Put Option	STO 2 May10 46.00 Put @ 0.55	Closed		$110.57
5/21/2010	TBT	Buy Back and Roll Out	BTC 2 May10 46.00 Put @ -7.24			($1,448.13)
5/21/2010	TBT	Continued Trade	STO 2 Sep10 46.00 Put @ 8.14	Exercised		$1,628.57
9/8/2010	TBT	CSP Margin Returned	CSP 100 TBT @ -46.00		$4,600.00
9/8/2010	TBT	Stock Assigned	EX 1 Sep10 46.00 Put @ -46.00		($4,600.00)
9/9/2010	TBT	Interim Trade	STO 2 Oct10 37.00 Call @ 0.27	Expired		$54.57
10/21/2010	TBT	Interim Trade	STO 2 Nov10 37.00 Call @ 0.27	Closed		$54.67
11/18/2010	TBT	Buy Back and Roll Out/Up	BTC 2 Nov10 37.00 Call @ -0.23			($46.33)
11/18/2010	TBT	Interim Trade	STO 2 Dec10 38.00 Call @ 0.91	Closed		$182.57
12/13/2010	TBT	Buy Back and Roll Out/Up	BTC 2 Dec10 38.00 Call @ -1.83			($365.43)
12/13/2010	TBT	Interim Trade	STO 2 Mar11 41.00 Call @ 2.29	Closed		$458.67
3/18/2011	TBT	Buy Back and Roll Out/Up	BTC 2 Mar11 41.00 Call @ -0.01			($2.00)
3/18/2011	TBT	Interim Trade	STO 2 Apr11 40.00 Call @ 0.19			$38.57
4/15/2011	TBT		Totals		($9,200.00)	$666.30
DTE	358		Percent Income/Annualized		7.24%	7.38%

JNJ - Adjustment

The following adjustment was made today on Johnson and Johnson (JNJ). All prices include IB commissions.

Criteria	Value
Dividend Champions Status	Champion
Years of Consecutive Dividend Increases	48
Years of Positive Free Cash Flow (last 10 years)	10
Ratio of P/E at Cost / 5yr Average P/E	0.81
Discount to Morningstar's Fair Value Estimate	22.08%

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
3/18/2011	JNJ	Buy Back and Roll Out	BTC 1 Mar11 60.00 Put @ -1.63			($163.01)
3/18/2011	JNJ	Continued Trade	STO 1 Apr11 60.00 Put @ 1.89			$188.99

Current Position Summary

Cost Basis	($6,000.00)
Income Generated	$120.02
Percent Income Generated	2.00%
Annualized Income Generated	9.13%
Net Profit If Assigned	$120.02
Percent Return If Assigned	2.00%
Annualized Return If Assigned	9.13%
Days Held to Expiration	80 days

Trade History

Date	Stock	Description	Transaction	Status	Stock Investment	Income Generated
1/25/2011	JNJ	CSP Margin Used	CSP 100 JNJ @ 60.00		($6,000.00)
1/25/2011	JNJ	Initial Put Option	STO 1 Mar11 60.00 Put @ 0.94	Closed		$94.04
3/18/2011	JNJ	Buy Back and Roll Out	BTC 1 Mar11 60.00 Put @ -1.63			($163.01)
3/18/2011	JNJ	Continued Trade	STO 1 Apr11 60.00 Put @ 1.89			$188.99
4/15/2011	JNJ		Totals		($6,000.00)	$120.02
DTE	80		Percent Income/Annualized		2.00%	9.13%