IHI is a medical device ETF. Consider it to be a reasonable “safe” haven as it has 50 of the biggest medical device names in the portfolio. If the market goes south it usually comes back….as long as boomers need medical procedures. Covid-19 definitely playing a role in the number of “procedures” in the short term so the current calls are deep in the money entering earnings season. Thought the group might find it interesting to follow what has happened so far. IHI dropped from $246 entry to under $190). As it fell I rolled down, and rolled down. With each roll I pulled out some premium trying to hold onto as much value as possible. I felt like I was getting about $4.00 of premium each time I gave up $10 of strike price. On the way back up it felt like I paid $7.00 of premium to roll up $10 of strike price.

After 53 days the return is 2.1% and continuing to run. Not much time premium on the current May 1 in the money calls. Happy with the return considering the volatility in the period.

#coveredcalls