I'm a rank novice boot-licken Options beginner. I lurk a lot, because I don't have much I can contribute. But I've found these formula's to be easy to remember, and very useful for me. They aren't mine, I just haven't ever seen them presented this way. Some definitions: S => Stock C => Call P => Put + => Long - => Short So S (Stock) = C (long call) - P (short Put) S=C-P. It proves what the more experienced guys are saying - selling a covered call is the same as being short the put. Through some simple algebra: S-C = -P (Long stock, selling covered call (short) = short Put So, with that in mind, here are some more: S=C-P (this is the one I memorize, derive the others as needed) S-C=-P S+P=C -S=-C+P -S-P=-C So, if I'm wondering what a MM would have to do if he was having to make a market selling stock, then he's -S. To hedge that he would have to go (-C+P). Hope they are useful to you.