Friday, May 23, 2008

Bought Dover Corp, Honeywell, and Nike Covered Calls

Three new covered call positions were established today in the Covered Calls Advisor Portfolio(CCAP) as follows:

1. Dover Corporation Covered Calls Established for JUL08
05/23/08 Bought 500 DOV @ $52.13
05/23/08 Sold 5 DOV Jul08 $55 Calls @ $1.00

Annualized Return If Stock Price Unchanged (ARIU): +14.7%
Annualized Return If Exercised (ARIE): +50.0%
Downside Breakeven Protection: 2.3%


2. Honeywell Covered Calls Established for Jun08
05/23/08 Bought 500 HON @ $58.89
05/23/08 Sold 5 HON Jun08 $60 Calls @ $1.20

Annualized Return If Stock Price Unchanged (ARIU): +25.6%
Annualized Return If Exercised (ARIE): +49.4%
Downside Breakeven Protection: 2.0%


3. Nike Covered Calls Established for Jun08
05/23/08 Bought 500 Nike @ $64.92
05/23/08 Sold 5 NKE Jun08 $65 Calls @ $1.70

Annualized Return If Stock Price Unchanged (ARIU): +37.4%
Annualized Return If Exercised (ARIE): +39.0%
Downside Breakeven Protection: 3.0%