Monday, March 18, 2013


I should have known when I recommended to a friend Saturday at the SF Options Group that I had just bought UVV - Universal Leaf tobacco- which had been one of my 10 big losers over four years, that it would bomb again. Luckily, it's in the DITM account. It fell nearly four points today on a downgrade (Schwab has it as a rare "A" stock), so it fell just below my Sold Call of $55. Might now be a better buying opp.

J P Morgan got called away at expiry (ran up too far to roll out) - a mere   8 1/2% annualized return from Oct.1 (nearly 6 months), lowering my average. But still better than MMFs. Bought 200 at $8269, sold Calls for $908, dividends of 120 (2); called away at $38, to net $350.

Also called away was Hasbro, which I held for 11 months - rolling UP a strike. Its annualized was a little better than JPM - 8.74%. With the VIX at a 2007 low (!!!) of 11+, not much IV in the stocks. Still, the dividends plus  a safety net (see UVV above), makes it worthwhile for most of my assets.

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