Friday, October 26, 2012

BTU - New Position

A new CSP position was established today on Peabody Energy (BTU). All prices include IB commissions.

This is a position which requires a minimum of 15% Downside Protection and 15% Annualized Return.

Downside Protection17.40%
Annualized Return18.53%
Fair Value Estimate$30.00
Target Buy Price$18.00
Target Margin of Safety40.00%
Actual Buy Price$24.00
Actual Margin of Safety3.33%

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
10/26/2012BTUCSP Margin UsedCSP 100 BTU @ 24.00 ($2,400.00) 
10/26/2012BTUInitial Put OptionSTO 1 Dec12 24.00 Put @ 0.68  $68.24

Position Summary

Cost Basis($2,400.00)
Income Generated$68.24
Percent Income Generated2.84%
Annualized Income Generated18.53%
Net Profit If Assigned$68.24
Percent Return If Assigned2.84%
Annualized Return If Assigned18.53%
Days Held to Expiration56 days