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Would you "sell" your stocks upside for more yield?
#1
If there was a platform that will allow you to sell your rights to your stocks potential upside......would you sell for more yield?
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#2
(11-29-2014, 04:42 PM)dfedotov Wrote: If there was a platform that will allow you to sell your rights to your stocks potential upside......would you sell for more yield?

I'm not following your question. Any chance you could clarify?
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#3
Sounds like selling covered calls.
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#4
Sounds exactly like covered calls. Easy enough to do.
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#5
A covered call has the risk that the buyer of the call will exercise that right, in which case you will lose your stock and its future dividends.
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#6
(12-04-2014, 03:03 PM)Be Here Now Wrote: A covered call has the risk that the buyer of the call will exercise that right, in which case you will lose your stock and its future dividends.

Considering the original author wanted to "sell" the stock anyway I don't think he consider this as a risk.

Personally I prefer to keep the stock and avoid covered calls just for that reason.
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#7
(12-06-2014, 10:43 PM)daat99 Wrote:
(12-04-2014, 03:03 PM)Be Here Now Wrote: A covered call has the risk that the buyer of the call will exercise that right, in which case you will lose your stock and its future dividends.

Considering the original author wanted to "sell" the stock anyway I don't think he consider this as a risk.

That is not how I understood the question.
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#8
(12-07-2014, 01:30 AM)Be Here Now Wrote:
(12-06-2014, 10:43 PM)daat99 Wrote:
(12-04-2014, 03:03 PM)Be Here Now Wrote: A covered call has the risk that the buyer of the call will exercise that right, in which case you will lose your stock and its future dividends.

Considering the original author wanted to "sell" the stock anyway I don't think he consider this as a risk.

That is not how I understood the question.

The title says:
Quote:Would you "sell" your stocks upside for more yield?
He clearly intends to "sell" it.
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#9
(12-07-2014, 02:09 AM)daat99 Wrote:
(12-07-2014, 01:30 AM)Be Here Now Wrote:
(12-06-2014, 10:43 PM)daat99 Wrote:
(12-04-2014, 03:03 PM)Be Here Now Wrote: A covered call has the risk that the buyer of the call will exercise that right, in which case you will lose your stock and its future dividends.

Considering the original author wanted to "sell" the stock anyway I don't think he consider this as a risk.

That is not how I understood the question.

The title says:
Quote:Would you "sell" your stocks upside for more yield?
He clearly intends to "sell" it.

He clearly states that he wants to know 1) if there is a platform where one can sell rights to price appreciation in exchange for more yield, and 2) if anyone would use it if it existed. Selling rights to price appreciation is not the same as selling ownership.

Nobody has answered his questions.

What he is looking for is like a CD with higher than market yield, and possibly growing yield (my inference).

I would consider it if the yield were high enough and my principal were insured. If there is such a platform, I do not know of it.
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#10
Personally, I'm beginning to think it was a SPAM message. The OP has never returned to answer the questions and this (bolded):

(11-29-2014, 04:42 PM)dfedotov Wrote: If there was a platform that will allow you to sell your rights to your stocks potential upside......would you sell for more yield?
=====

“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan


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#11
(12-07-2014, 02:46 AM)Be Here Now Wrote: He clearly states that he wants to know 1) if there is a platform where one can sell rights to price appreciation in exchange for more yield, and 2) if anyone would use it if it existed. Selling rights to price appreciation is not the same as selling ownership.

Nobody has answered his questions.

What he is looking for is like a CD with higher than market yield, and possibly growing yield (my inference).

I would consider it if the yield were high enough and my principal were insured. If there is such a platform, I do not know of it.
Very interesting! Thanks.
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