Covered Call
A covered call is a short call option which is backed -- or covered -- by sufficient pre-purchased shares of the underlying stock.
Covered Calls - Extra Income or Insurance on Stocks You Own
Covered Calls is a name for an option strategy that is flexible enough so that it can be adapted to different market conditions.
Covered call writing strategy
A strategy that involves writing a call option on securities that the investor owns in his or her portfolio. See covered or hedge option strategies. ...
Covered Calls
A covered call seller or writer is an investor who owns a stock and sells a call option against it to generate additional income, which comes from the premium received for selling the option.
Covered call option. A call option for which you have an offsetting position in the underlying security. For example, an investor owns 500 shares of XYZ and writes (sells) 5 XYZ call options. The 500 shares cover the call options sold.
Covered Call
A call option that is sold against stock owned by the writer of the call.
Covered Option ...
Covered call
A short call option position in which the writer owns the number of shares of the underlying stock represented by the option contracts.
covered calls
A call option for which the owner of a security grants the buyer of the call option the right to purchase a security owned by the option seller. The opposite of naked calls. In theory, selling covered calls can be a hedging strategy.
Covered Call
A call option whose seller (writer) owns the underlying security and is able to deliver it if the option is exercised.
Uncovered Call Option
An uncovered call writer must deposit and maintain sufficient margin with his broker to assure that the stock can be purchased for delivery if and when he is assigned.
Uncovered Call - A call option sold without owning the underlying. Also called a naked call.
Underlying - The asset from which the option derives its value. It is what the call owner may buy, or the put owner may sell.
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Covered Call Option
You own the underlying stock but are willing to forgo price increases in excess of the option strike price in return for the premium.
Covered Call A in which the owns the number of of the underlying stock represented by the contracts.
Covered Call
An options strategy whereby an investor holds a long position in an asset and writes (sells) call options on that same asset in an attempt to generate increased income from the asset.
'Covered call options' boost funds
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Related Terms ...
Short Covered Call - Options Strategies - Bullish Options Strategies - Opti...
Covered Call Strategies Can Produce Reliable Investment Income
Low Risk Stock Investing - How to Invest in Stocks Using Stock Options ...
See Uncovered call writing and Uncovered put writing.
Named perils insurance
An insurance policy that names specific risks covered by the policy.
NASD form FR-1 ...
3 SHORT COVERED CALL PURCHASE PRICE OF UNDERLYING STOCK MINUS PREMIUM - 4. Short put covered by short s...
3 YEAR ADJUSTABLE (ARM) - A loan with a fixed rate for the first 3 years that has a rate that changes o...
3% RULE - see THREE PERCENT RULE.
Selling covered call options at incrementally rising exercise prices, so that as the price of the underlying stock rises and the options are exercised, the seller receives a higher average price than the original exercise price.
Graduated lease ...
Short covered call: purchase price minus premium.
4. Short put covered by short stock: short sale price of underlying stock plus premium.
unconditional Not limited by conditions uncovered call A position to sell (short) a call option where the seller (writer) does not... uncovered option A sold (written) call option or a bought put option whereby the trader does...
See related: Covered call, Expiration date, Option premium, Strike price.
See opposite: Put option.
Call provision ...
See also Covered Call.
Buyback
The covering of a short position by purchasing a long contract, usually resulting from the short sale of a commodity. See: Short covering, stock buyback. Also used in the context of bonds.
Naked writer See Uncovered call writing and Uncovered put writing. Named perils insurance An insurance policy that names specific risks covered by the policy.
I looked at selling some covered calls on Wells Fargo. But from my quick look at the premium I might receive, I saw nothing that made any sense to me. Wells closed at $27.07.
This different approach to the covered call write offers less risk and greater potential profit. An Alternative Covered Call Options Trading Strategy
Even beginners may use this strategy to trade a bullish outlook.
Covered Call Fund
A covered call fund is a pooled investment vehicle that invests in stocks while also selling call options on these same stocks to earn addit...(Read more)
Covered Combination ...
You sell the 30-60 day covered call taking in the premium money and giving you that amount of money downside protection to offset any move against you. The ideal trade will play out like this.
This strategy is typically called a covered call. The client exceeds the current market rate for the flat forward (and) extendible portions of the trade.
Generally used in connection with covered call writing, this is the cushion against loss, in case of a price decline by the underlying security, that is afforded by the written call option.
Buy write
Writing a covered call consists of taking a long position in the underlying asset plus a short position in a call option. The long asset position covers or protects the option writer from a rise in the asset price.
One appeal of selling a covered call is that you collect the premium but don't risk potentially large losses.
An Option Pick to Juice Your Returns and Limit Risk Your Edge With Options How Covered Calls Work Option Players Dare the Dow Downtrend
Related Call Option Tools
Investment Radar Portfolio Manager Stock Screener ...
A call is covered when the writer of the call owns the underlying shares. If the writer does not own the underlying shares, the call is uncovered. Covered calls can be written in a registered account such as an RRSP, but uncovered calls cannot.
Naked writer
Definition: [crh] See Uncovered call writing and Uncovered put writing.
Also called a naked asset, it is much riskier for the writer than a covered call, where the writer owns the underlying stock. If the buyer of a call exercises the option to call, the writer would be forced to buy the asset at current market price.
A conservative options strategy in which stocks are bought and covered call options are written on them.
By writing (selling) a "covered call," you collect the premium and, assuming the stock price stays under the call price, get to keep the stock. The risk, of course, is that the stock will get called away and you will miss out on the price rise.
Naked Call Option Writing - Options sold without the seller actually owning the underlying product (versus covered call option writing).
Strategies that involve a position in an option as well as a position in the underlying stock, designed so that one position will help offset any unfavorable price movement in the other, including covered call writing and protective put buying.
Synthetic Short Put - Is a long position in the underlying combined with a short call. Is sometimes referred to as a covered call write position.
correct, selling call options on those stocks actually results in additional income, offsetting the drop in his stock's market value. This hedges the risk of owning those stocks without having to sell the stocks. This is known as a covered call.
If, on the other hand, the option writer already owned XYZ shares when writing the option, he or she could just turn those shares over to the option buyer. This latter strategy is known as writing a covered call.
of Canada bonds, provincial government bonds, Crown Corporation bonds, bonds issued by Canadian corporations listed on a prescribed stock exchange, and certain strip bonds certain types of mortgages, including your own certain covered call options, ...
Graduated call writing Selling covered call options at incrementally rising exercise prices, so that as the price of the underlying stock rises and the options are exercised, ...
 See also: Banks, Yield curve, Values, Exercise price, Expense
  
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