A new covered calls position was established today in the Covered Calls Advisor Portfolio(CCAP) as follows:
Established Chubb Corporation (CB) Covered Calls for Apr08
03/27/08 Bought 500 CB @ $49.87
03/27/08 Sold 5 CB Apr08 $50 Calls @ $1.55
Annualized Return If Stock Price Unchanged (ARIU): +49.3%
Annualized Return If Exercised (ARIE): +53.5%
Downside Breakeven Protection: 3.1%
Chubb was selected since it was rated as a 'Buy' by both stock selection advisory services (Schwab Equity Ratings and MarketGrader.com) used by the Covered Calls Advisor. In addition, it is both a Mergent's Dividend Achiever and a Buyback Achiever. Most importantly, it received the highest overall points rating of any financial sector company in this advisor's Analysis Sheet methodology.
Friday, March 28, 2008
Monday, March 24, 2008
Boeing, Celanese, Disney, Frontier Oil, Humana, MSCI South Korea Index ETF, Mylan, and Seagate Technology -- Continuation Transactions
1. Boeing (BA) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 200 shares of BA:
03/24/08 Covered Calls Transaction -- STO 2 Apr08 80 Calls @ $.85
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 200 BA @ $84.35
02/20/08 Initial Sold Calls Transaction -- Sold 2 BA Mar08 85 Calls @ $2.40
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 2 Apr08 80 Calls @ $.85
Note: Price of BA was $75.40 when calls were written today.
The overall performance results(including commissions)for the BA transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $16,879.95
($84.35*200+$9.95 commission)
Net Profit:
(a) Options Income: $627.10 (200*$2.40 + 200*$.85 - 2*$11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $75.40): -$1,809.90
= ($75.40-$84.35)*200 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$889.90
= ($80.00-$84.35)*200 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $75.40): -$1,182.80
= ($627.10+$0-$1,809.90)
Total Net Profit(If stock price exercised at $80.00): -$262.80
= ($627.10+$0-$889.90)
Annualized Return If Unchanged (ARIU) -43.3% (-$1,182.80/$16,879.95)*(365/59)
Annualized Return If Exercised (ARIE) -9.6% (-$262.80/$16,879.95)*(365/59)
2. Celanese (CE) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 300 shares of CE:
03/24/08 Covered Calls Transaction -- STO 3 Apr08 40 Calls @ $1.70
The Transactions History to date is as follows:
02/22/08 Initial Stock Purchase Transaction -- Bought 300 CE @ $40.62
02/22/08 Initial Calls Sold Transaction -- Sold 3 CE Mar08 40 Calls @ $1.95
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 3 Apr08 40 Calls @ $1.70
Note: Price of CE was $38.90 when calls were written today.
The overall performance results(including commissions)for the CE transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $12,195.95
($40.62*300+$9.95 commission)
Net Profit:
(a) Options Income: $1,070.60 (300*$1.95 + 300*$1.70 - 2*$12.20 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $38.90): -$535.90
= ($38.90-$40.62)*300 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$205.90
= ($40.00-$40.62)*300 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $38.90): +$534.70
= ($1,070.60+$0-$535.90)
Total Net Profit(If stock price exercised at $40.00): +$864.70
= ($1,070.60+$0-$205.90)
Annualized Return If Unchanged (ARIU) +28.1% (+$534.70/$12,195.95)*(365/57 days)
Annualized Return If Exercised (ARIE) +45.4% (+$864.70/$12,195.95)*(365/57 days)
3. Disney (DIS) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 600 shares of DIS:
03/24/08 Covered Calls Transaction -- STO 6 Apr08 32.5 Calls @ $.65
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 600 DIS @ $32.09
02/20/08 Initial Calls Sold Transaction -- Sold 6 DIS Mar08 32.5 Calls @ $.80
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 6 Apr08 32.5 Calls @ $.65
Note: Price of DIS was $31.85 when calls were written today.
The overall performance results(including commissions)for the DIS transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $19,263.95
($32.09*600+$9.95 commission)
Net Profit:
(a) Options Income: $841.10 (600*$.80 + 600*$.65 - 2*$14.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $31.85): -$163.90
= ($31.85-$32.09)*600 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): +$226.10
= ($32.50-$32.09)*600 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $31.85): +$677.20
= ($841.10+$0-$163.90)
Total Net Profit(If stock price exercised at $32.50): +$1,067.20
= ($841.10+$0+$226.10)
Annualized Return If Unchanged (ARIU) +21.7% (+$677.20/$19,263.95)*(365/59 days)
Annualized Return If Exercised (ARIE) +34.3% (+$1,067.20/$19,263.95)*(365/59 days)
4. Frontier Oil (FTO) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 500 shares of FTO:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 30 Calls @ $1.45
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 500 FTO @ $37.60
02/20/08 Initial Calls Sold Transaction -- Sold 5 FTO Mar08 40 Calls @ $1.35
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 5 Apr08 30 Calls @ $1.45
Note: Price of FTO was $28.85 when the calls were sold today.
The overall performance results(including commissions)for the FTO transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $18,809.95
($37.60*500+$9.95 commission)
Net Profit:
(a) Options Income: $1,372.60 (500*$1.35 + 500*$1.45 - 2*$13.70 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $28.85): -$4,394.90
= ($28.85-$37.60)*500 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$3,819.90
= ($30.00-$37.60)*600 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $28.85): -$3,022.30
= ($1,372.60+$0-$4,394.90)
Total Net Profit(If stock price exercised at $30.00): -$2,447.30
= ($1,372.60+$0-$3,819.90)
Annualized Return If Unchanged (ARIU) -99.4% (-$3,022.30/$18,809.95)*(365/59 days)
Annualized Return If Exercised (ARIE) -80.5% (-$2,447.30/$18,809.95)*(365/59 days)
5. Humana (HUM) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 200 shares of HUM:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 50 Calls @ $1.25
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 200 HUM @ $68.65
02/20/08 Initial Calls Sold Transaction -- Sold 2 HUM Mar08 70 Calls @ $2.20
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 2 Apr08 50 Calls @ $1.25
Note: Price of HUM was $46.10 when the calls were sold today.
The overall performance results(including commissions)for the HUM transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $13,739.95
($68.65*200+$9.95 commission)
Net Profit:
(a) Options Income: $667.10 (200*$2.20 + 200*$1.25 - 2*$11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $46.10): -$4,529.90
= ($46.10-$68.65)*200 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$3,749.90
= ($50.00-$68.65)*200 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $46.10): -$3,862.80
= ($667.10+$0-$4,529.90)
Total Net Profit(If stock price exercised at $50.00): -$3,082.80
= ($667.10+$0-$3,749.90)
Annualized Return If Unchanged (ARIU) -173.9% (-$3,862.80/$13,739.95)*(365/59 days)
Annualized Return If Exercised (ARIE) -138.8% (-$3,082.80/$13,739.95)*(365/59 days)
6. MSCI South Korea Index ETF (EWY) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 600 shares of EWY:
03/24/08 Covered Calls Transaction -- STO 6 Apr08 57 Calls @ $1.10
The Transactions History to date is as follows:
11/28/07 Initial Stock Purchase Transaction -- Bought 800 EWY @ $65.22
11/28/07 Initial Calls Sold Transaction -- Sold 8 EWY Dec07 68 Calls @ $1.75
12/15/07 Dec07 Options Expiration Date – EWY closed below the strike price
12/24/07 Ex-Dividend Date $.369 * 800 shares
01/25/08 Covered Calls Continuation Transaction -- STO 8 Feb08 62 Calls @ $1.00
02/16/08 Feb08 Expiration Date -- EWY closed below the strike price
02/19/08 Covered Calls Continuation Transaction -- STO 8 Mar08 63 Calls @ $.80
03/22/08 Mar08 Expiration Date -- EWY closed below the strike price
3/24/08 Ex-Dividend Date $.369 * 800 shares
3/24/08 Covered Calls Continuation Transaction -- STO 8 Apr08 57 Calls @ $1.10
Note: Price of EWY was $54.75 when the calls were sold today.
The overall performance results(including commissions)for the EWY transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $52,185.95
($65.22*800+$9.95 commission)
Net Profit:
(a) Options Income: +$3,656.20 [800*($1.75+$1.00+$.80+$1.10) - 4*$15.95 commissions]
(b) Dividend Income: +$590.40 (800*$.369+ 800*$.369)
(c) Capital Appreciation (If stock price unchanged from $54.75): -$8,395.90
= ($54.75-$65.22)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$6,595.90
= ($57.00-$65.22)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $54.75): -$4,149.30
= (+$3,656.20 +$590.40 -$8,395.90)
Total Net Profit(If stock price exercised at $63.00): -$2,349.30
= (+$3,656.20 +$590.40 -$6,595.90)
Annualized Return If Unchanged (ARIU) -20.3%
(-$4,149.30/$52,185.95)*(365/143)
Annualized Return If Exercised (ARIE) -11.5%
(-$2,349.30/$52,185.95)*(365/143)
7. Mylan (MYL) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 800 shares of MYL:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 12.5 Calls @ $.20
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 800 MYL @ $12.85
02/20/08 Initial Calls Sold Transaction -- Sold 8 MYL Mar08 12.5 Calls @ $.75
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 8 Apr08 12.5 Calls @ $.20
Note: Price of MYL was $11.27 when the calls were sold today.
The overall performance results(including commissions)for the MYL transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $10,289.95
($12.85*800+$9.95 commission)
Net Profit:
(a) Options Income: $728.10 (800*$.75 + 800*$.20 - 2*$15.95 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $11.27): -$1,283.90
= ($11.27-$12.85)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$299.90
= ($12.50-$12.85)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $11.27): -$555.80
= ($728.10+$0-$1,283.90)
Total Net Profit(If stock price exercised at $12.50): +$428.20
= ($728.10+$0-$299.90)
Annualized Return If Unchanged (ARIU) -33.4% (-$555.80/$10,289.95)*(365/59 days)
Annualized Return If Exercised (ARIE) +25.7% (+$428.20/$10,289.95)*(365/59 days)
8. Seagate Technology (STX) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 800 shares of STX:
03/24/08 Covered Calls Transaction -- STO 8 Apr08 22.5 Calls @ $.60
The Transactions History to date is as follows:
12/26/07 Initial Stock Purchase Transaction -- Bought 800 STX @ 25.84
12/26/07 Initial Call Options -- Sold 8 STX Jan08 27.5 Calls @ $.55
01/19/08 Jan08 Options Expiration Date -- STX closed below the strike price
01/30/08 Ex-Dividend Date $.100 * 800 shares = $80 dividend income
02/13/08 Covered Calls Continuation Transaction -- STO 8 Mar08 25 Calls @ $0.45
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 8 Apr08 22.5 Calls @ $.60
Note: Price of STX was $21.70 when the calls were sold today.
The overall performance results(including commissions)for the STX transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $20,681.95
($25.84*800+$9.95 commission)
Net Profit:
(a) Options Income: $1,152.15 (800*$.55 + 800*$.45 +800*$.60 - 3*$15.95 commissions)
(b) Dividend Income: $80.00 ($.100 dividend * 800 shares)
(c) Capital Appreciation (If stock price unchanged from $21.70): -$3,331.90
= ($21.70 - $25.84)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$2,691.90
= ($22.50-$25.84)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $23.12): -$2,099.75
= ($1,152.15 + $80.00 - $3,331.90)
Total Net Profit(If stock price exercised at $22.50): -$1,459.75
= ($1,152.15 + $80.00 - $2,691.90)
Annualized Return If Unchanged (ARIU) -32.2% (-$2,099.75/$20,681.95)*(365/115)
Annualized Return If Exercised (ARIE) -22.4% (-$1,459.75/$20,681.95)*(365/115)
The following transaction was made today to establish a covered calls position against the 200 shares of BA:
03/24/08 Covered Calls Transaction -- STO 2 Apr08 80 Calls @ $.85
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 200 BA @ $84.35
02/20/08 Initial Sold Calls Transaction -- Sold 2 BA Mar08 85 Calls @ $2.40
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 2 Apr08 80 Calls @ $.85
Note: Price of BA was $75.40 when calls were written today.
The overall performance results(including commissions)for the BA transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $16,879.95
($84.35*200+$9.95 commission)
Net Profit:
(a) Options Income: $627.10 (200*$2.40 + 200*$.85 - 2*$11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $75.40): -$1,809.90
= ($75.40-$84.35)*200 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$889.90
= ($80.00-$84.35)*200 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $75.40): -$1,182.80
= ($627.10+$0-$1,809.90)
Total Net Profit(If stock price exercised at $80.00): -$262.80
= ($627.10+$0-$889.90)
Annualized Return If Unchanged (ARIU) -43.3% (-$1,182.80/$16,879.95)*(365/59)
Annualized Return If Exercised (ARIE) -9.6% (-$262.80/$16,879.95)*(365/59)
2. Celanese (CE) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 300 shares of CE:
03/24/08 Covered Calls Transaction -- STO 3 Apr08 40 Calls @ $1.70
The Transactions History to date is as follows:
02/22/08 Initial Stock Purchase Transaction -- Bought 300 CE @ $40.62
02/22/08 Initial Calls Sold Transaction -- Sold 3 CE Mar08 40 Calls @ $1.95
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 3 Apr08 40 Calls @ $1.70
Note: Price of CE was $38.90 when calls were written today.
The overall performance results(including commissions)for the CE transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $12,195.95
($40.62*300+$9.95 commission)
Net Profit:
(a) Options Income: $1,070.60 (300*$1.95 + 300*$1.70 - 2*$12.20 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $38.90): -$535.90
= ($38.90-$40.62)*300 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$205.90
= ($40.00-$40.62)*300 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $38.90): +$534.70
= ($1,070.60+$0-$535.90)
Total Net Profit(If stock price exercised at $40.00): +$864.70
= ($1,070.60+$0-$205.90)
Annualized Return If Unchanged (ARIU) +28.1% (+$534.70/$12,195.95)*(365/57 days)
Annualized Return If Exercised (ARIE) +45.4% (+$864.70/$12,195.95)*(365/57 days)
3. Disney (DIS) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 600 shares of DIS:
03/24/08 Covered Calls Transaction -- STO 6 Apr08 32.5 Calls @ $.65
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 600 DIS @ $32.09
02/20/08 Initial Calls Sold Transaction -- Sold 6 DIS Mar08 32.5 Calls @ $.80
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 6 Apr08 32.5 Calls @ $.65
Note: Price of DIS was $31.85 when calls were written today.
The overall performance results(including commissions)for the DIS transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $19,263.95
($32.09*600+$9.95 commission)
Net Profit:
(a) Options Income: $841.10 (600*$.80 + 600*$.65 - 2*$14.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $31.85): -$163.90
= ($31.85-$32.09)*600 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): +$226.10
= ($32.50-$32.09)*600 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $31.85): +$677.20
= ($841.10+$0-$163.90)
Total Net Profit(If stock price exercised at $32.50): +$1,067.20
= ($841.10+$0+$226.10)
Annualized Return If Unchanged (ARIU) +21.7% (+$677.20/$19,263.95)*(365/59 days)
Annualized Return If Exercised (ARIE) +34.3% (+$1,067.20/$19,263.95)*(365/59 days)
4. Frontier Oil (FTO) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 500 shares of FTO:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 30 Calls @ $1.45
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 500 FTO @ $37.60
02/20/08 Initial Calls Sold Transaction -- Sold 5 FTO Mar08 40 Calls @ $1.35
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 5 Apr08 30 Calls @ $1.45
Note: Price of FTO was $28.85 when the calls were sold today.
The overall performance results(including commissions)for the FTO transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $18,809.95
($37.60*500+$9.95 commission)
Net Profit:
(a) Options Income: $1,372.60 (500*$1.35 + 500*$1.45 - 2*$13.70 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $28.85): -$4,394.90
= ($28.85-$37.60)*500 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$3,819.90
= ($30.00-$37.60)*600 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $28.85): -$3,022.30
= ($1,372.60+$0-$4,394.90)
Total Net Profit(If stock price exercised at $30.00): -$2,447.30
= ($1,372.60+$0-$3,819.90)
Annualized Return If Unchanged (ARIU) -99.4% (-$3,022.30/$18,809.95)*(365/59 days)
Annualized Return If Exercised (ARIE) -80.5% (-$2,447.30/$18,809.95)*(365/59 days)
5. Humana (HUM) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 200 shares of HUM:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 50 Calls @ $1.25
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 200 HUM @ $68.65
02/20/08 Initial Calls Sold Transaction -- Sold 2 HUM Mar08 70 Calls @ $2.20
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 2 Apr08 50 Calls @ $1.25
Note: Price of HUM was $46.10 when the calls were sold today.
The overall performance results(including commissions)for the HUM transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $13,739.95
($68.65*200+$9.95 commission)
Net Profit:
(a) Options Income: $667.10 (200*$2.20 + 200*$1.25 - 2*$11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $46.10): -$4,529.90
= ($46.10-$68.65)*200 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$3,749.90
= ($50.00-$68.65)*200 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $46.10): -$3,862.80
= ($667.10+$0-$4,529.90)
Total Net Profit(If stock price exercised at $50.00): -$3,082.80
= ($667.10+$0-$3,749.90)
Annualized Return If Unchanged (ARIU) -173.9% (-$3,862.80/$13,739.95)*(365/59 days)
Annualized Return If Exercised (ARIE) -138.8% (-$3,082.80/$13,739.95)*(365/59 days)
6. MSCI South Korea Index ETF (EWY) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 600 shares of EWY:
03/24/08 Covered Calls Transaction -- STO 6 Apr08 57 Calls @ $1.10
The Transactions History to date is as follows:
11/28/07 Initial Stock Purchase Transaction -- Bought 800 EWY @ $65.22
11/28/07 Initial Calls Sold Transaction -- Sold 8 EWY Dec07 68 Calls @ $1.75
12/15/07 Dec07 Options Expiration Date – EWY closed below the strike price
12/24/07 Ex-Dividend Date $.369 * 800 shares
01/25/08 Covered Calls Continuation Transaction -- STO 8 Feb08 62 Calls @ $1.00
02/16/08 Feb08 Expiration Date -- EWY closed below the strike price
02/19/08 Covered Calls Continuation Transaction -- STO 8 Mar08 63 Calls @ $.80
03/22/08 Mar08 Expiration Date -- EWY closed below the strike price
3/24/08 Ex-Dividend Date $.369 * 800 shares
3/24/08 Covered Calls Continuation Transaction -- STO 8 Apr08 57 Calls @ $1.10
Note: Price of EWY was $54.75 when the calls were sold today.
The overall performance results(including commissions)for the EWY transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $52,185.95
($65.22*800+$9.95 commission)
Net Profit:
(a) Options Income: +$3,656.20 [800*($1.75+$1.00+$.80+$1.10) - 4*$15.95 commissions]
(b) Dividend Income: +$590.40 (800*$.369+ 800*$.369)
(c) Capital Appreciation (If stock price unchanged from $54.75): -$8,395.90
= ($54.75-$65.22)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$6,595.90
= ($57.00-$65.22)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $54.75): -$4,149.30
= (+$3,656.20 +$590.40 -$8,395.90)
Total Net Profit(If stock price exercised at $63.00): -$2,349.30
= (+$3,656.20 +$590.40 -$6,595.90)
Annualized Return If Unchanged (ARIU) -20.3%
(-$4,149.30/$52,185.95)*(365/143)
Annualized Return If Exercised (ARIE) -11.5%
(-$2,349.30/$52,185.95)*(365/143)
7. Mylan (MYL) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 800 shares of MYL:
03/24/08 Covered Calls Transaction -- STO 5 Apr08 12.5 Calls @ $.20
The Transactions History to date is as follows:
02/20/08 Initial Stock Purchase Transaction -- Bought 800 MYL @ $12.85
02/20/08 Initial Calls Sold Transaction -- Sold 8 MYL Mar08 12.5 Calls @ $.75
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 8 Apr08 12.5 Calls @ $.20
Note: Price of MYL was $11.27 when the calls were sold today.
The overall performance results(including commissions)for the MYL transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $10,289.95
($12.85*800+$9.95 commission)
Net Profit:
(a) Options Income: $728.10 (800*$.75 + 800*$.20 - 2*$15.95 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation (If stock price unchanged from $11.27): -$1,283.90
= ($11.27-$12.85)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$299.90
= ($12.50-$12.85)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $11.27): -$555.80
= ($728.10+$0-$1,283.90)
Total Net Profit(If stock price exercised at $12.50): +$428.20
= ($728.10+$0-$299.90)
Annualized Return If Unchanged (ARIU) -33.4% (-$555.80/$10,289.95)*(365/59 days)
Annualized Return If Exercised (ARIE) +25.7% (+$428.20/$10,289.95)*(365/59 days)
8. Seagate Technology (STX) Continuation Transaction
The following transaction was made today to establish a covered calls position against the 800 shares of STX:
03/24/08 Covered Calls Transaction -- STO 8 Apr08 22.5 Calls @ $.60
The Transactions History to date is as follows:
12/26/07 Initial Stock Purchase Transaction -- Bought 800 STX @ 25.84
12/26/07 Initial Call Options -- Sold 8 STX Jan08 27.5 Calls @ $.55
01/19/08 Jan08 Options Expiration Date -- STX closed below the strike price
01/30/08 Ex-Dividend Date $.100 * 800 shares = $80 dividend income
02/13/08 Covered Calls Continuation Transaction -- STO 8 Mar08 25 Calls @ $0.45
03/22/08 Mar08 Options Expired
03/24/08 Covered Calls Continuation Transaction -- Sold 8 Apr08 22.5 Calls @ $.60
Note: Price of STX was $21.70 when the calls were sold today.
The overall performance results(including commissions)for the STX transactions through the Apr08 expiration would be as follows:
Stock Purchase Cost: $20,681.95
($25.84*800+$9.95 commission)
Net Profit:
(a) Options Income: $1,152.15 (800*$.55 + 800*$.45 +800*$.60 - 3*$15.95 commissions)
(b) Dividend Income: $80.00 ($.100 dividend * 800 shares)
(c) Capital Appreciation (If stock price unchanged from $21.70): -$3,331.90
= ($21.70 - $25.84)*800 - 2*$9.95 commissions
(c) Capital Appreciation (If exercised): -$2,691.90
= ($22.50-$25.84)*800 - 2*$9.95 commissions
Total Net Profit(If stock price unchanged at $23.12): -$2,099.75
= ($1,152.15 + $80.00 - $3,331.90)
Total Net Profit(If stock price exercised at $22.50): -$1,459.75
= ($1,152.15 + $80.00 - $2,691.90)
Annualized Return If Unchanged (ARIU) -32.2% (-$2,099.75/$20,681.95)*(365/115)
Annualized Return If Exercised (ARIE) -22.4% (-$1,459.75/$20,681.95)*(365/115)
SPDR S&P500 Index Trust -- Closed
The position in SPDR S&P500 Index Truse (SPY) was closed today by selling the 200 shares owned:
Transactions History:
02/20/08 Initial Stock Position -- Bought 200 SPY @ $133.89
02/21/08 Initial Call Options -- Sold 2 SPY Mar08 135 Calls @ $3.55
03/22/08 Mar08 Option Expiration Date – SPY closed below the strike price at $132.08
03/24/08 200 SPY sold at $135.00
The overall performance results (including commissions) for the SPY transactions were as follows:
Stock Purchase Cost: $26,787.95
($133.89*200+$9.95 commission)
Net Profit:
(a) Options Income: $698.55 (200*$3.55 - $11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation: +$202.10
= ($135.00-$133.89)*200 - 2*$9.95 commissions
Total Net Profit: +$900.65
= ($698.55+$0+$202.10)
SPY ANNUALIZED ROI: +37.2%
(+$900.65/$26,787.95)*(365/33 days)
Transactions History:
02/20/08 Initial Stock Position -- Bought 200 SPY @ $133.89
02/21/08 Initial Call Options -- Sold 2 SPY Mar08 135 Calls @ $3.55
03/22/08 Mar08 Option Expiration Date – SPY closed below the strike price at $132.08
03/24/08 200 SPY sold at $135.00
The overall performance results (including commissions) for the SPY transactions were as follows:
Stock Purchase Cost: $26,787.95
($133.89*200+$9.95 commission)
Net Profit:
(a) Options Income: $698.55 (200*$3.55 - $11.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation: +$202.10
= ($135.00-$133.89)*200 - 2*$9.95 commissions
Total Net Profit: +$900.65
= ($698.55+$0+$202.10)
SPY ANNUALIZED ROI: +37.2%
(+$900.65/$26,787.95)*(365/33 days)
Charles Schwab Corp -- Closed
The position in Charles Schwab Corp (SCHW) was closed today by selling the 1000 shares owned:
Transactions History:
02/21/08 Initial Stock Position -- Bought 1000 SCHW @ $20.10
02/21/08 Initial Call Options -- Sold 10 SCHW Mar08 20 Calls @ $1.05
03/22/08 Mar08 Option Expiration Date – SCHW closed below the strike price at $19.46
03/24/08 1000 SCHW sold at $20.00
The overall performance results (including commissions) for the SCHW transactions were as follows:
Stock Purchase Cost: $20,109.95
($20.10*1000+$9.95 commission)
Net Profit:
(a) Options Income: $1,032.55 (1000*$1.05 - $17.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation: -$119.90
= ($20.00-$20.10)*1000 - 2*$9.95 commissions
Total Net Profit: +$912.65
= ($1032.55+$0-$119.90)
SCHW ANNUALIZED ROI: +51.8%
(+$912.65/$20,109.95)*(365/32)
Transactions History:
02/21/08 Initial Stock Position -- Bought 1000 SCHW @ $20.10
02/21/08 Initial Call Options -- Sold 10 SCHW Mar08 20 Calls @ $1.05
03/22/08 Mar08 Option Expiration Date – SCHW closed below the strike price at $19.46
03/24/08 1000 SCHW sold at $20.00
The overall performance results (including commissions) for the SCHW transactions were as follows:
Stock Purchase Cost: $20,109.95
($20.10*1000+$9.95 commission)
Net Profit:
(a) Options Income: $1,032.55 (1000*$1.05 - $17.45 commissions)
(b) Dividend Income: $0
(c) Capital Appreciation: -$119.90
= ($20.00-$20.10)*1000 - 2*$9.95 commissions
Total Net Profit: +$912.65
= ($1032.55+$0-$119.90)
SCHW ANNUALIZED ROI: +51.8%
(+$912.65/$20,109.95)*(365/32)
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