OPENING (IRA): HYG FEBRUARY 19TH 83 SHORT PUT

iShares iBoxx $ High Yield Corporate Bond ETFArca

Description

⋅ Jan 5, 2021 4:19 PM

... for a .37/contract credit.

Notes: Selling the strike in the monthly that pays a credit > or = to the monthly dividend, looking to emulate monthly dividends without being in the actual stock. The weeklies, unfortunately, aren't as liquid as I would like, so will sell in the nearest monthly down to 30 days until expiry.

Trade closed: target reached

⋅ Feb 19, 2021 10:58 PM

Expiring worthless. $37 profit/contract.

Comments

PropNotes

⋅ Jan 5, 2021 4:21 PM

real safe but not a whole lot of return on this one :(

NaughtyPines

⋅ Jan 5, 2021 4:31 PM

@Pholesolus, I'm doing it as a kind of "cash" option over just letting excess capital sit there, undeployed, but you're right, it pays shite. Lol.

PropNotes

⋅ Jan 5, 2021 4:50 PM

@NaughtyPines, better than cash though! from that angle its great haha