Covered Calls

Buy These Stocks for Big Dividend Yields from Bitcoin

Buy These Stocks for Big Dividend Yields from Bitcoin

My investment focus has centered on income stocks and ETFs. Since Bitcoin doesn’t pay dividends, I hadn’t had much interest besides keeping up with the news. The explosion in the issuance of new options strategy ETFs provides new ways to invest in existing asset categories. Three covered call ETFs currently use Bitcoin as the portfolio […]

Two Surprise Dividend Hikes from High-Yield ETFs

Two Surprise Dividend Hikes from High-Yield ETFs

Last week, I made several presentations at the MoneyShow conference in Orlando. For one talk, I covered the pros and cons of covered call ETFs. These high-yield ETFs can bring a lot of income into your portfolio. This week, two of my recommendations announced surprisingly large distributions. I’ll take the money! Let’s take a look […]

Generating Cash Flow From the Energy Sector

Generating Cash Flow From the Energy Sector

The energy sector has been far and away the best performing sector over the last year with both oil and gas prices having been on the rise.  A popular way to trade the energy sector as a whole is through the Energy Select Sector SPDR ETF (XLE).  XLE has been a solid gainer for 2022, […]

Is LYFT ready for a rebound?

Is LYFT ready for a rebound?

The ride sharing industry has taken a beating over the last couple years due primarily to the pandemic.  But is there a rebound is sight?  The pandemic may finally be slowing to a crawl.  Lyft (LYFT), one of the two ride sharing giants, has seen its stock price trend down since last summer.  However, a […]

Using Options To Boost Your Returns From Small Caps

Using Options To Boost Your Returns From Small Caps

Covered calls can be an excellent way to improve returns while holding ETFs or other index products. For instance, a trader recently place a large covered call trade in the iShares Russell 2000 ETF (IWM).  The trader purchased one million shares of IWM while simultaneously selling 10,000 calls that expire in two weeks. This strategy […]

How to Calculate Your Impressive Covered Call Returns

How to Calculate Your Impressive Covered Call Returns

Dear Reader, Talking about investment yields and returns can be confusing, and actually understanding what happens can be even more daunting. However, we are trying to make money on our money, and understanding potential returns – both as percentages and dollars – helps separate good opportunities from those that are less attractive. If you have […]

An Alternative Way to Use Covered Calls for Higher Returns

An Alternative Way to Use Covered Calls for Higher Returns

Covered calls are popular and powerful trading strategies for many reasons. Above all else, an overwriting system can work in just about any type of market. There aren’t many strategies that offer a benefit in most market environments. As a reminder, investors make covered calls when they buy a stock (in blocks of 100 shares) […]