Covered Calls on KO: Premium vs Dividend
A covered call on KO collects a fraction of a percent per month. See the real premium, implied volatility and the ex dividend math behind assignment.
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What Breaks an Options Backtest
What breaks an options backtest is the entry price and the contract list. Reprice every entry one volatility point and see how much modelled credit survives.
Why Would Anyone Sell a Put Option?
Why would anyone sell a put option? The premium is payment for a real obligation. Where a high win rate hides a deep tail, and when selling is a bad idea.
Partial Assignment of Short Options
Partial assignment happens when only some of your short options are exercised. See how the OCC and your broker allocate, and what the leftover stub means.
When a Spread Expires Between the Strikes
When a spread expires between the strikes, the short leg is exercised and the long leg dies worthless. How often that happens on SPY, and the fix by 4 p.m.
Covered Calls on Futures: How They Work
Covered calls on futures have no shares to cover: assignment hands you an offsetting short future, and SPAN margins the package. See how the numbers work.
How to Calculate Covered Call Returns
How to calculate covered call returns: net debit, break even, static return and return if called, worked through one contract, plus the annualized catch.
What Happens If an Option Expires In the Money
If an option expires in the money by at least $0.01, the OCC exercises it automatically. See what the long and short sides owe, and what pin risk costs.