Unknown's avatar jefflsmith 5:33 pm on Wednesday, August 5, 2020  

“Covered Calls” Outperforming “Stock Only” in 13 of 20 positions.

We have been tracking the daily profitability of covered call positions for an extended period of time. Many of the positions have been rolled several times. If stock is assigned it was removed from the tracking and considered closed. The following positions are “open”.

  • Blue Line = Profit or Loss on stock
  • Orange Line = Profit or Loss on Option
  • Black Line = Net or Combined for Stock and Option.

If the Black Line is above the Blue Line the “covered call” is outperforming just owing the stock. If Black Line is Below Blue the stock is outperforming the covered call.

401(K) Account

In 401(K) Covered Call strategy’s are outperforming just stock in 5 of 8 positions. 7 of 8 positions are profitable.

General Account

In the general account Covered Call strategy’s are outperforming stock alone in 8 of 12 positions. 11 of 12 positions are profitable.