True, comissions are always an issue. And the ones at the end are the ones that aggravate. Options House is really reasonable. Stocks are $2.50 to get in, claim nada to get out. and up to 5 options are $5. They claim they will let out on assignment for free.
Vanguard for 5 contracts is over $100 if assigned. I just told Vanguard to take a hike and they may have cost me a years worth of what I will save. 2 months of calls on 800 shares to be exact. Hows that for a range, $7.50 to $100 ???? 15:1 proves, you need to know your broker. You can do interesting stuff at Schwab if you have connections, but screw up, forget it!! If you have a big enuf account, all commissions are negotiable. e.g TD ameritrade wants money for options and assignment, but will give free stock buys in return. I love that old pharse " money talks and bull shit walks"!!!
--- On Thu, 1/21/10, Vandollar <mercdesdrvr@yahoo.com> wrote:
From: Vandollar <mercdesdrvr@yahoo.com>
Subject: Re: [justcoveredcalls] Super Puts / Callwriter
To: justcoveredcalls@yahoogroups.com
Date: Thursday, January 21, 2010, 6:59 PM
True John, if one likes to invest in covered calls they can buy EXG or ETY covered call CEFs that pay at or over 1% per month. The trick is to get to 2% per month after comissions
--- On Thu, 1/21/10, John Hudgens <jdhudgens2000@ yahoo.com> wrote:
From: John Hudgens <jdhudgens2000@ yahoo.com>
Subject: Re: [justcoveredcalls] Super Puts / Callwriter
To: justcoveredcalls@ yahoogroups. com
Cc: ConservativeOptionS trategies@ yahoogroups. com
Date: Thursday, January 21, 2010, 12:06 PM
| Glen, As you will find, the biggest problems with making money with options is proper selection of stocks and money management. My guess is you will find many different strategies and opinions on the web site, but from what I have seen, most are relatively conservative ( even the naked put writers) in their choice of stocks. Some are very conservative. Another web site that I am also a member of has more conservative views and a unique method to make money with leaps : < ConservativeOptionS trategies@ yahoogroups. com>. You will also hear comments about the "blue collar investor" who has given me and others here a bit of sound advice. All would agree, in my opinion, stock selection takes time and effort. IBD, brokerage stock lists, fundamental review, etc. Although many of us don't want to fall in love with our stocks, we don't want them to take a nose dive during the month unexpectedly. And generally, you will see many of us rewiting calls against the same companies month after month. Of course, then there are days like yesterday and today -- who can predict China? Money management is more than a monthly look at your account. Especially in diagonal or calendar spreads. None of us (I hope) believe that the guys that sell picks are truly accurate -- if they were, why would they be doing it? Altruism? They like to help people? Many of the pickers are chartists: they believe you can tell all from the chart -- parabolic options, etc. Shaeffer Investment Research makes a lot of money from options research and they can't pick for beans. Are they as well researched as they should be? Penny stocks, well, there is always pump and dump, so there is a good reason for extoling the virtues of these companies. (and for us avoiding them) If you want to make about 1% per month, you can probably do about that or better with an account at TD ameritrade and doing buy writes using their best S&P covered call list. You can buy Larry McMillan's complete Options course in 4 DVDs from Trader's Library on line. I know, cuz I bought it there. You don't need a coach until you have a game plan! John --- On Thu, 1/21/10, Glen Fullmer <gfullmer@cox. net> wrote:
From: Glen Fullmer <gfullmer@cox. net>
Subject: [justcoveredcalls] Super Puts / Callwriter
To: justcoveredcalls@ yahoogroups. com
Date: Thursday, January 21, 2010, 9:28 AM
Hi Folks,
I have been using a modified Kim Snider's (kimsnider.com) SIM method for
the last 3 years. It has done OK over that time period - providing at
least 1%/month cash flow. Looking at the accounts - I have two. One
that was pure (at least from what I read from the patent and then later
from the course) SIM is about even now, and another has returned 11.6%
annualized for the 3 years. It is only 1.3% this year and it was 33.9%
last year. The reason for the variance was my mods to SIM as I did
covered puts last year.
Looking at changing it for the future and was wondering what all you
guys feel about CallWriter's SuperPut strategy. I am being "promised"
5%/month return by one of their consultants that wants me to buy a
coaching contract at $8-12k for a year. I will be asking to see
verified results. Their guarantee is only to recover the cost of the
course and if they can't they will refund your money. I am considering
just buying John Brasher's book for the details instead.
Any feedback would be appreciated.
Thanks,
Glen
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