Closed Out Covered Call Position in the iShares 20+ Year Treasury Bond ETF

The iShares 20+ Year Treasury Bond ETF (ticker TLT) price has had a substantial decline since this position was established.  The Moody's downgrade of ten U.S. banks caused an immediate increase in bond yields and since the price of bonds moves inversely with interest rates, TLT's price declined.  I was able to capture the $.275282 per share ex-distribution on August 1st, but still experienced a significant loss in this position.  The Covered Calls position expired last Friday and since I am not confident that long-term Treasury Bond yields won't continue their recent upward trend, I decided to close out this iShares 20+ Year Treasury Bond ETF Covered Calls position at a loss as detailed below.

iShares 20+ Year Treasury Bond ETF (TLT) -- Covered Calls Position Closed by Early Decision

The buy/write transaction was as follows:
7/27/2023 Bought 300 iShares 20+ Year Treasury Bond ETF shares at $100.71.

7/27/2023 Sold 3 TLT August 11th, 2023 $99.00 Call options @ $2.18 per share.
8/1/2023 Ex-distribution of $.275282 per share.

8/11/2023 TLT shares expired out-of-the-money and 300 TLT shares remain in the Covered Calls Advisor Portfolio.

8/14/2023 Sold 300 TLT shares at $95.61 to close out this Covered Calls position.

The overall performance results (including commissions) are as follows:
Covered Calls Net Investment: $29,561.01
= ($100.71 - $2.18) * 300 shares + $2.01 commission

Net Profit:
(a) Options Income: +$651.99
= ($2.18 * 300 shares) - $2.01 commission

(b) Distribution Income: +$82.58

= $.275282 distribution per share x 300 TLT shares

(c) Capital Appreciation: -$1,530

= ($95.61 selling price - $100.71 purchase price) * 300 shares

Total Net Profit: -$795.43

= +$651.99 options income +$82.58 distribution income -$1,530 capital appreciation

Absolute Return-on-Investment: -2.7%

= -$795.43/$29,561.01

Annualized Return-on-Investment: -57.8%

= (-$795.43/$29,561.01) * (365/17 days)

Regards and Godspeed,

Jeff Partlow (The Covered Calls Advisor)
partlow@cox.net