A call option is a contract that guarantees its owner ... Covered calls are usually written by investors who are long on a stock (i.e., they own it and don’t plan to sell it in the near future ...

Call options are traditionally bullish bets by ... writing because the writer/investor owns the stock that the call is written against (as opposed to a “naked call” where they don't own ...

a call option. Both options should have the same expiration date, although the written call option should have a higher strike price. How an investor would profit with this strategy is best shown ...

That would mean missing out on potential gains above the strike price of the option. If the investor’s opinion of the stock changes significantly before the written call expires, either more ...

If you're interested in options trading, one of the first things to learn is the difference between call and put options. You'll see these terms used all the time, so understanding them is a must.

The fund collects the option premiums and distributes them to shareholders in the form of high yields. The downside is that layering a written call option on top of a position alters its return ...

A call option is a contract that gains value when the underlying stock rises. In the most basic sense, then, a call option is a bet that the underlying security will rise in price, enabling you to ...

Call options are a type of option that increases in value when a stock rises. They’re the best-known kind of option, and they allow the owner to lock in a price to buy a specific stock by a ...

You may also decide to roll up if you've written a covered call, and the stock has made a move higher that puts you at risk of potential assignment. The existing short option will be bought to ...