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Uncovered call are very dangerous, as there is no limit as how high a stock can rise. If you sell a cash covered put, the maximum you can lose (if the company goes bankrupt) is the total value of the 100 stocks. Not so with the call. Hedge funds have gone bust for selling uncovered calls.

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Pietro Speroni d. F.
Pietro Speroni d. F.

Written by Pietro Speroni d. F.

Consultant; realizing my Vision: A mathematically fair, leaderless, collaborative #eDemocracy. I'm also in #Permaculture, #Tao #Meditation & #BTC. I'm @psdf

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