Hey dumbfuck, can't you read? The topic is "writing covered calls in a B&H portfolio", not selling puts. Not only that, you've been a real ass what you presume to know. UP YOURS AND ON IGNORE!!
People make mistakes, ironchef, and one of the potential benefits of this forum is to share our work to see where/if the mistakes are being made. If you want to make performance claims--hypothetical or otherwise--without sharing your methodology then all you have are baseless claims. If I see you making baseless claims then I'll make sure to point that out.
covered call is equivalent to short put, which is an extremely basic concept that most taxi driving retail investors and primary students know. that implies you have absolutely no knowledge on synthetic relationships but risking your $1k account on nonlinear exposures. good luck with your dumb fuck talks and again i really wish there are more of you big mouths.
What is baseless about it? Covered call has better sharpe, but returns wise did not beat SPX total return.
I have never been able to figure out why "Selling Covered Calls on a Buy&Hold Portfolio" produces such acrimony and name-calling, but it does. As well, "Selling Puts On Stocks You Wish To Own" -- same thing: acrimony & name-calling. We are a curious species.
I like selling puts on stocks I want to own, it's like being paid to wait for the price to hit your target
I see. ET appointed you the enforcer and judge. Why do you think it is baseless unless you have done similar analysis, otherwise you are making a baseless claim on my baseless claims. Thank you for defending my honor. And by adding commissions and slippages, it will return worse than SPX and Sharpe will deteriorate. There will be a cross-over such that Sharpe will be below SPX's. As a small mom and pop trader trading 1 contract @ Schwab, it is a loser's game. But, this time I will quote Mr. @murray t turtle: NOT A PREDICTION.%
ET could do worse. ET could also do better. More to the point, a baseless claim cannot be verified. Anybody can (and does, in this industry) throw up a table or graph and draw conclusions from it. If we can't replicate it then those conclusions are nothing more than hollow (baseless) claims. Without intending any personal offense, I'll note that I've seen a lot of sloppy backtesting over the years. I have no reason to think your backtesting is any better and neither does anyone else unless you tell us exactly what you did. Just to review, you claimed (in this thread and elsewhere) that covered calls "barely beat buy and hold the SP500" and will do worse after transaction fees. You said you backtested "SPY 1993-2019. BS, Approx IV using mod. HV." I simply asked for specifics on how you did that backtest since your one-line description is very incomplete.