In the past, we discussed setting up calendar spreads using a LEAPS. The theory here is to leverage returns using less capital to fund the trade. This can be an effective strategy to add to your monthly trades for income. Today, we will discuss how to manage the calendar spread when prices changes. For the …
Fitch Ratings’ outlook for U.S. business development companies (BDCs) is Stable for 2011, as recent capital raises and leverage reductions have provided ample investment capital to deploy and improved overall operating flexibility. Fitch expects portfolio originations to outpace repayments for the full year, should risk-adjusted returns remain attractive in the market, which should support growth …
Outlook for Business Development Companies (BDCs) is Stable for 2011 Read More »
Yesterday, we discussed the Blueprint for Monthly Income about some rules to use for selecting monthly payers. Today, we will look at 5 ETFs that pay monthly dividends. These ETFs include various sectors and potential tax advantages. You should review the ETFs before you commit to investing to make sure they are suitable to your …
In a Town Hall event titled Keeping America Great, Warren Buffett and Bill Gates were at Columbia University in New York City on November 12, 2009. Both self-made billionaires, Buffett and Gates are the embodiment of the American Dream. They both put their stock in America and reaped the benefits of the capitalist tradition. Since …
Before you trade any options, you should have a plan. Some players just say, I think I will try a credit spread and see what happens. This is not the way to succeed at trading. You must have a trading plan that treats trading as a business. The first aspect to creating a trading …
How many people do you know who have achieved great wealth by holding their stocks for long periods of time? There are a number of these investors who achieved staggering success such as Warren Buffett. However, there are numerous reasons why I prefer income investing including covered calls to buy and hold. “If anything, buy …
So what strategies can you implement with weekly options? Well, just about any strategy you do with the longer dated options, except now you can do it four times each month. For us premium sellers who like to take advantage of the rapidly accelerating time-decay curve in an option’s final week of its life, the …
Option open interest is the number of options contracts open in a specific option series. Open interest serves as a measure of option liquidity in the underlying option series. The higher the open interest, the tighter the bid/ask spreads will be so slippage in trades will be lower. When looking at option series, you want …
