Does anyone here have comments/thoughts on the idea of using a collar (short call/long put on top of holding the underlying) as a relatively safe way of parking money to collect dividends? IE -- (1) Buy 100 XYZ at $15. (2) Sell a 6-mo $17.50 call, write the $12.50 put for a credit or more likely a small debit. (Sale of the call helps defray/cover the cost of the long put) The call can be OTM or ATM. The goal would be to collect a monthly dividend while protecting principal by ensuring the downside risks are hedged by the long put. And if the stock goes up and the calls are exercised, that's fine, too. I've used collars on short-term positions (3mo) just to cover things during last spring/summer's volatility, but this approach is looking to use the collar to protect the position while allowing income to come in. Thoughts/comments? Thx in advance!