option overlay strategy Archives

Sheaff Brock, ducks with heads underwater signifying downside risks,

15 Sep

When Diversifying Has Too Many Downsides

Strategies for Concentrated Equity Positions Part One: Covered Calls Whether through love or happenstance, like many investors, you may have ended up with a very large investment position in one company or in several companies within the same industry. Perhaps you received stock from an employer as part of your retirement package. You might have inherited shares from a beloved family member. You might have intentionally built a big position in the shares of a company you admire. Whatever the reason [...]

By Sheaff Briefs Editor Perspectives, Possibilities
Chicago Board of Options Exchange, concentrated equity position, covered call overlays, covered calls, Derivatives Risk Manager, investment income, investment opportunities, investment strategies, Louie Humphries, option overlay strategy, option strategies, selling a covered call, Sheaff Brock, strike price, tax efficiency Read more...

Taking the elevator down | option overlay for returns | Sheaff Brock

04 Nov

Option Premiums Can Provide Additive Returns During the Elevator Ride

“Stocks often take the elevator down and the stairs up,” Sheaff Brock Managing Director Dave Gilreath comments, referring to the strong rallies following the stagnant markets in 2004–2005, 2011–2012, and 2015–2016. “The stock market often takes a breather before rallying up to a higher plateau,” Gilreath adds. With the Dow Jones “stuck” for the past year-and-a-half, he observes, it’s not unreasonable to anticipate another “stair-climbing” period. In an earlier First Trust Monday Morning Outlook report, Chief Economist Brian S. Wesbury, [...]

By Sheaff Briefs Editor Perspectives, Portfolios
added cash flow, Brian S. Wesbury, cash-flow benefit, DJIA, Dow Jones Industrial Average, equity portfolio, First Trust Monday Morning Outlook, option overlay, option overlay strategy, Sheaff Brock Index Income Overlay, Sheaff Brock Managing Director Dave Gilreath, Sheaff Brock Put Income Overlay, stagnant markets, stock market risk, strong rallies, volatility Read more...

Option Overlay Strategies as Timely and Timeless | Sheaff Brock

25 Apr

Timely vs. Timeless—Option Overlays Strive to Be Both

With this month’s over-arching message being the power of TIME—the goal being to discuss investment tactics which are timely, yet which belong in portfolios based on timeless wisdom—the option overlay strategy becomes a particularly relevant topic. There’s nothing new about option overlays. In fact, as Institutional Investor explains, the majority of U.S. pension plans have adopted overlay techniques as part of their investment tactics. And, while in investment vocabulary, the term “overlay” can have different meanings, Sheaff Brock Managing Director Dave Gilreath [...]

By Sheaff Briefs Editor Perspectives, Portfolios
derivative investments, Index Income Overlay, market volatility, option overlay, option overlay strategy, overlay techniques, protective portfolio tactics, Put Income Overlay, S&P 500, Sheaff Brock, Sheaff Brock Managing Director Dave Gilreath, Sheaff Brock Option Overlay strategies Read more...

Sheaff Brock financial planning advice for distribution phase of retirement

23 Dec

Sheaff Brock Addresses Angela’s Angst

Angela isn’t a real person, merely a “fictional amalgam” created by wealth manager Jerry Miccolis, CFP®, CFA, writing in the Journal of Financial Planning. But Angela’s concerns about her financial future, Miccolis claims, are very real indeed, typical of the angst many clients feel as they enter the “distribution” phase of their financial lives. “Readers of my prior contributions to the Journal will probably know how I would respond if Angela came to me,” Miccolis writes. “What advice would YOU [...]