Tuesday, December 15, 2009

December SPY dividend capture -- with quarterly options

SPY goes ex-dividend this Friday, with an estimated payout of about 0.50 per share.   I bought SPY at 111.46 and sold RDQLE to open (109 calls, expire 30-Dec) at 2.92 for a net investment of 108.54.  These calls will probably be assigned Thursday night, but if not my breakeven point drops to around 108.

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