The Covered Calls Advisor Portfolio had thirteen positions since last month's (July 16th, 2021) monthly options expiration date. During this past month, the Covered Calls Advisor Portfolio closed out twelve of these thirteen positions. Ten of the twelve positions were closed at a profit and the other two were closed at a loss. A summary of results (for all thirteen positions) since the last monthly options expiration date on July 16th, 2021 through yesterday's monthly options expiration date of August 20th are described below:
- One Cash-Secured Put position in Cigna Corp. (ticker CI) expired out-of-the-money (stock price above the $197.50 strike price) on the August 20th monthly options expiration date for a +1.2% absolute return-on-investment (equivalent to +27.1% annualized return-on-investment).
- Two Covered Calls positions expired in-the-money on the August 20th monthly options expiration date, so the options expired and the stocks were sold at the strike prices with the following results:
- Delta Air Lines Inc. (DAL) -- +1.5% absolute return in 17 days (equivalent to +32.3% annualized return-on-investment).
- Prudential Financial Inc. (PRU) -- +3.1% absolute return in 53 days (equivalent to +21.4% annualized return-on-investment).
- Three
Covered Calls positions expired in-the-money on their July 30th weekly
options expiration dates, so their options expired
and their stocks were sold at their respective strike prices as follows:
- Conoco Phillips (COP) -- +1.9% absolute return in 16 days (equivalent to +44.1% annualized return-on-investment).
- Lowe's Companies Inc. (LOW) -- +1.6% absolute return in 23 days (equivalent to +25.5% annualized return-on-investment).
- Micron Technology Inc. (MU) -- +3.8% absolute return in 42 days (equivalent to +32.8% annualized return-on-investment).
- Three Covered Calls positions were closed out prior to their options expiration dates based on decisions made by the Covered Calls Advisor with the following results:
- Caterpillar Inc. (CAT) -- +1.1% absolute return in 20 days (equivalent to +20.0% annualized return-on-investment).
- Ralph Lauren Co. (RL) -- -1.3% absolute return in 28 days (equivalent to -16.5% annualized return-on-investment).
- Lyondell Basel Industries Inc. (LYB) -- -10.5% absolute return in 53 days (equivalent to -72.1% annualized return-on-investment).
- Three Covered Calls positions were closed out by early assignment on the day prior to their ex-dividend dates with the following results:
- Citigroup Inc. (C) -- +1.4% absolute return in 17 days (equivalent to +30.7% annualized return-on-investment).
- Morgan Stanley (MS) -- +1.6% absolute return in 10 days (equivalent to +59.2% annualized return-on-investment).
- United Parcel Service Inc. (UPS) -- +0.7% absolute return in 9 days (equivalent to +26.4% annualized return-on-investment).
- One Covered Call position in Cabot Oil & Gas Corporation expired on the August 20th, 2021 options expiration date out-of-the-money. These shares now remain in the Covered Calls Advisor Portfolio (shown in the right sidebar of this blog) and decisions will be made soon to either sell these shares or to continue with the Covered Calls positions by selling future Call options against the shares currently held.
During the past year
(last 12 months) 117 of 121 positions were closed out at a profit. The
average annualized return-on-investment was +36.9% and their average
holding period was 22.2 days. In comparison, the benchmark S&P 500 index returned +30.6% during the same prior one-year period.
As shown in the
right sidebar, there are currently three open positions in
the Covered Calls Advisor Portfolio. All future transactions and
return-on-investment results for these positions will be posted on
this blog site on the same day the transactions occur. As always, I
welcome your emails whenever you have any comments or
questions related to this post or anything related to Covered Calls
investing.
Best Wishes,
Jeff Partlow
Covered Calls Advisor
partlow@cox.net
