This week, I completed a total of 8 trades focused entirely on $SLV, involving both buying shares and selling covered calls (CC). So far, the strategy is paying off with a total premium collected of $83.82.
Currently, I hold 213 shares of $SLV with a net adjusted cost basis of $26.58. With the market price at $27.20, my unrealized gain stands at $48.84. Including premiums, my total gain is $132.48 – reflecting a Total ROIC of 3.46%.
No emotional attachment here – this is purely an income strategy. If my shares get called away by Friday, I’ll simply boost my gains further up to $27.50, which I’m more than fine with.
Posted by RickyT27
4 Comments
I like it!
Are you fine with your outcome, or would you like to be a little bit more aggressive?
SLV doesn’t have a dividend, so :(.
I like the strategy but perhaps I’m too greedy because I would want to purchase shares where I can sell CCs and clear more income.
SLV is rather safe but I just feel like risk to reward doesn’t seem feel worth while.
What are you targeting for income growth over say a 1 month period?
Edit: I really like how you laid this out.
If that’s in a taxable account the K-1 is going to be fun next year