11-29-2014, 04:42 PM
If there was a platform that will allow you to sell your rights to your stocks potential upside......would you sell for more yield?
|
Would you "sell" your stocks upside for more yield?
|
|
11-29-2014, 04:42 PM
If there was a platform that will allow you to sell your rights to your stocks potential upside......would you sell for more yield?
11-29-2014, 11:44 PM
11-29-2014, 11:53 PM
Sounds like selling covered calls.
12-02-2014, 04:55 PM
Sounds exactly like covered calls. Easy enough to do.
12-04-2014, 03:03 PM
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.
12-06-2014, 10:43 PM
(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.
12-07-2014, 01:30 AM
(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. That is not how I understood the question.
12-07-2014, 02:09 AM
(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. The title says: Quote:Would you "sell" your stocks upside for more yield?He clearly intends to "sell" it.
12-07-2014, 02:46 AM
(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. 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.
12-07-2014, 02:59 AM
12-07-2014, 03:03 AM
(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.Very interesting! Thanks. |
|
« Next Oldest | Next Newest »
|