After 1 year & 2 months (newbie) of trying out IBKR options, I am quite surprised that $100K realised profits achievement has been unlocked!? 😆 Options has been quite an eye opener for me personally, but for people who are well versed in Stocks Investments, it should be easy to pick up. Choosing a good option stock is similar with Fundamental and Technical Analysis. There are plenty of Option strategies to choose from: Wheel strategy (cash secured put + covered call), Credit Spreads, Iron Condor, Put Ratio Spreads, LEAPs etc. So one can easily choose the option strategy that fits into your personal timeframe, capital and activity management
For a lazy me, I just do the Wheel Strategy (SPY, QQQ, MSFT, META, NVDA, AVGO mega cap companies) and enhance it with Put/Call ratio spreads, coupled with put/call rolls up/down and out for slight horizontal time and vertical price diversifications.
While selling cash secured puts, I usually target an annualised return of about 10-20%, coupled with additional 3.1% for USD cash to make up a total of 13-23% return. So far my ROI has been reasonable at overall 20% slightly beating the S&P500 market. With USA in a current bull market, it is generally easier to earn money. Guess the real challenge would be during a bear market 😅 With consistent USD money printing and strong earnings, hopefully the Bull will continue to rage on and on for the next few years. Cash really has not much choices to hide nowadays, and I am "forced" to invest rather than save 😔
If you are also keen to obtain US$1,000 worth of IBKR shares & start your Options journey, click on my referral link https://ibkr.com/referral/jason9403
Press on Financial Warrior, YOU Mighty Man of Valour!
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Disclaimer: This blog is provided for education/information purposes and should not be used as an enticement to invest in any financial products
