Understanding the benefits and risks of options.
What is An Option?
Exploring Options Strategies
Covered Calls: One of the most common mistakes in investing is that investors buy high-cost, gimmicky investments. We prefer low-cost index investing. An investor with a substantial portfolio can generate extra income from a diversified portfolio by selling short-term out-of-the-money calls from time to time. This can help offset the cost of having an advisor or even generate cash flow that can be used during retirement instead of just selling shares of investments.
Cash Secured Puts: Sometimes an investor comes into a large amount of cash and rather than just investing all at once, cash secured puts can be used to get an investor into the market on its dips, and generate short-term cash flow while you waiting for market downturns.
Long Calls/Bull Call Spread: Buying calls or call spreads are extremely aggressive strategies and not for most investors, but for those with an appetite for this level of risk allows for leverage.
Collar: Sometimes investors find themselves in a concentrated position in one stock because they earned stock and or stock options over a long career at one company. Other investors find themselves in a windfall situation when their small company finally IPO. We have a lot of experience hedging those concentrated positions. Selling calls generates income that can be used to buy puts (a downside protection strategy) through what can be an extremely profitable or stressful time for this type of investor.
Explore Our Financial Services
Our Latest Financial Insights
Planning for Future Education Expenses: Understanding 529 Plans
In a climate of economic uncertainty, one thing’s for sure — higher education comes with a hefty price tag. According to Sallie Mae’s latest “How
Life Insurance and Retirement: When is Enough, Enough?
As you move into retirement, it’s common to think about managing your finances in a new way, including reviewing your various insurance policies, including life
CPA-Financial Advisor Collaboration: Why It Matters
When it comes to planning your financial future, there are many important decisions to make. Whether you’re looking to save for retirement, invest in the
Questions? Concerns? If you’re ready to plan, we’re ready to get you started. Reach out today and we’ll be in touch.