What's Your Plan ?

[hendi_alex]

My current batch of calls brought in $13,062 and that is for about a half year and is on an under $300K portfolio of which about $75K is not used for covered call plays. So the portfolio brings in about $24K-$28K in call income and brings in another $12K-$15K in dividends. I add those two categories together to get my cash flow yield, which for the past couple of years has been well into the double digits. That said, during this sharply rising market, total return would have been much higher without the call writing. Given my urge to play defense, the covered call route worked best for me, giving a solid return plus an extra margin of safety. Playing defense most always causes one to under perform a rising market.