What are Covered Calls

Writing covered calls involves selling call options against your stock holdings. By doing so, investors can gain consistent monthly income from their stock portfolios without selling the stocks and regardless of market direction. The covered call technique has nothing do with the risky practice of speculating or trading the markets with options - in fact, it is the complete opposite. Covered call sellers earn income from selling option contracts to speculators and traders!

Examples of actual covered call investments

The following are actual US covered call investments using real market data.

Stock
Symbol
Buy
Price
Option/
Strike
Premium
Received
Month
Return
Annualized
Return
C $50.63 Sep-50 $2.40 3.55% 42.60%
GE $42.50 Sep-42.5 $1.80 4.42% 53.04%
GM $63.70 Sep-65 $1.85 3.00% 36.00%
WMT $55.68 Sep-55 $2.50 3.37% 40.44%

Notice that the covered call Investor receives a large monthly return if the stock price goes up or down.

If you are not selling covered calls you are leaving significant sums of money on the table each month! You can tap into this income stream with the commitment of as little as 4 hrs of your time per month.

Compound Stock Earnings specializes in providing comprehensive education on using the Covered Call technique in the US markets. Due to the size and volatility of this market, covered call investors can realize cash yields of up to 10% on covered call transactions PER MONTH.

Compound Stock Earnings is the global market leader in covered call educational services. While many companies teach how to enter covered call positions, this is only the tip of the iceberg. Compound Stock Earnings is the only company that provides a comprehensive education on how to use covered calls to successfully manage a stock portfolio on an ongoing basis - regardless of whether the stocks go up or down. Anyone can place money into the market, its as easy as calling a broker. It's what an investor does after the money is placed that determines the quality of the outcome.

We specialize in instructing investors how to:

  • select stocks that are optimal for covered call transactions in the US markets (NYSE, NASDAQ, AMEX);
  • select the correct option strike prices and expirations;
  • search the entire US market in an instant for the highest yielding covered call opportunities;
  • consistently generate income on rising and falling stocks; and most importantly
  • use the most effective defensive techniques to safely prevent an unprofitable callout.

For those willing to commit more time to their investment activities or those aspiring to eventually invest full time, Compound Stock Earnings also teaches an advanced adaptation of the Covered Call technique. This technique utilizes long term options (LEAPS) for cover rather than stock and provides the potential for much higher returns.

The LEAPS technique combines the consistent cash generation benefits of the covered call technique with the leverage and flexibility of LEAPS - effectively providing investors with the many benefits of leverage, without the use of margin. This combination allows investors the potential to generate very high returns using the LEAPS technique, regardless of market direction.

Compound Stock Earnings outlines in intricate detail the entire process and techniques of Calendar LEAPS investing - no stone is left unturned. Combined with a little aptitude, patience and effort, even the most novice investor can grasp this highly effective Covered Call technique.

Please see the scrolling data lines at the top of our Homepage to see the LEAPS transactions that our clients profited from this week!

To be determined.

To be determined.

To be determined.. >>

All information presented by Compound Stock Earnings LTD and/or Compound Stock Earnings Seminars LTD by its directors, employees and consultants in seminars, websites, literature, email or through any other medium provides general information only. All references to international and USA securities are made using historical data and are for educational purposes only. No trading suggestions of any kind are made nor should be implied. In presenting the material, neither Compound Stock Earnings LTD and/or Compound Stock Earnings Seminars LTD nor its directors, employees or consultants has taken into consideration any individual's investment objectives, financial situation or particular needs. All recipients of general information furnished by Compound Stock Earnings LTD and/or Compound Stock Earnings Seminars LTD should seek independent professional advice as to the suitability of any investment strategy to their personal financial profile and goals.

Compound Stock Earnings Seminars LTD should seek independent professional advice as to the suitability of any investment strategy to their personal financial profile and goals. Read Full Disclaimer