Here is how our fearless, intrepid investor did over the last five weeks in her “fun” portfolio writing covered calls on Novavax (NVAX) on Mondays, expiry dates on Fridays of the same week. To lower the risk of being assigned, she wrote those further out-of-the-money instead of the usual just out-of-the-money sale, as she did in the past.
On April 22 expiry date, she sold ten covered call contracts on NVAX and got $US227.50.
On April 29 expiry date, she sold ten covered call contracts on NVAX and got $US547.50.
On May 2 expiry date, she sold ten covered call contracts on NVAX (C 06MAY22 56.00) and got $1,170.00. She was assigned and her NVAX shares were called away.
On May 16 expiry date, she sold ten covered call contracts on NVAX (C 13MAY22 68.00) and got $1.520.00.
On May 20 expiry date, she sold ten covered call contracts on NVAX (C 20MAY22 58.50) and got $540.00.
Total premiums received = $US4,005.00 for the last five weeks. She was assigned once out of the five covered-call sales and decided to repurchase NVAX to continue selling covered calls in her “fun” portfolio.
Most “fun” portfolios underperform and cannot equal the S&P 500. Go here for more about “fun” portfolios,
What will she do when the US market opens at 9:30 AM, today? (Canadian markets are closed for this holiday Monday.)YOU NEED TO LOGIN TO VIEW THE REST OF THE CONTENT OR LEAVE A COMMENT. Please Login. Not a Member? You can now sign up for $12 for a one-year membership. Join Us
The Monday Morning Millionaire Program supports do-it-yourself (DIY) investors which I have been for over 50 years. About my team and me
We have designed the Monday Morning Millionaire Program to offer abstracted investment education. The program does not provide any investment advice or endorsements.
The Monday Morning Millionaire Program has outperformed over 90% of professional managers over the last decade and more. You need to login to see our style. Not a Member? Join Us.