dividend capture with covered calls

Overview of dividend capture strategies

May 14, 2023December 12, 2010 by Vance Harwood

I have written several posts on dividend capture strategies. My favored, although far from perfect strategy: Dividend capture with covered calls Some approaches I don’t recommend: SPY dividend capture ideas that don’t work Dividend capture—three approaches to skip Additional background and tools, and an example: Dividend capture overview Covered calls–are you ready? Combo orders–maximizing profits on covered calls DIA dividend capture: creating the position DIA …

Dividend capture with covered calls—too hot, too cold, or just right!

May 14, 2023April 15, 2010 by Vance Harwood

If you have general questions about dividends see Top 10 questions about dividends. One strategy for capturing dividends is to buy the stock/ETF and then sell calls against that security as a hedge—a covered call. The value of the short calls moves in the opposite direction of the stock/ETF, providing a hedge. There are three major variables with this strategy: 1. How many days before …