commissions ($25,000 account at Tastyworks, with 2:1 margin). A total
of 16 short Puts were closed, all of them at a profit.
So far in the year, we have closed 54 Short Put positions. 53 winners
vs 1 loser. The total realized gain made in the year is now +$1,624.31.
This represents a +6.5% growth for Q1. If we project that over an
entire year, we are on pace to a +26% year, which is not bad. Of
course, chances are, not every quarter will be like this one. Still,
I’m happy with the results so far, considering that we have experienced
no equity exposure at all. All the gains so far are based on short
Puts only and no stock position has been entered
Of course, the market is up much more than 6.5% Year to Date. It is
expected that a short Put strategy will make less money in periods of
strong market rallies, but then again the current path of the market is
not sustainable for an entire year.
Looking at April, it seems the first assignment of the year will
finally happen. In this case on CVS. We also have short WBA Puts that
are in the money. All other positions (8) look very healthy. April will
also mark the beginning of a new earnings season. So, volatility will be
elevated for selected names and that may very well result in greater
gains in the near future.
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