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Synopsis: Investors are increasingly turning to LEAPS (Long-Term Equity AnticiPation Securities) to combine the advantages of options trading with the benefits and security of a longer time frame. Here, Marty Kearney of the Options Institute at the Chicago Board Options Exchange examines the wide range of practical and effective strategies for managing LEAPS, and shows you how to match these strategies to your own risk profile. INCLUDES--Online Video, Interactive Test, Online Charts
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Jacket Description: Learn how to tailor your options program using LEAPS and devise key strategies to improve profitability, protect paper profits, and avoid losses in long stock positions.
• Use LEAPS to produce monthly income • Identify key elements in determining LEAPS prices • Master LEAPS symbols and expiration cycles • Insure your portfolio against market pullbacks • Manage year-end tax consequences • Establish security positions with little risk
Providing advanced technical insight, Kearney walks you through the inner workings of LEAPS and shows you compelling strategies for incorporating them into your overall approach to market. With instant access to the online video, interactive test, and online charts, you’ll have everything you need to begin profiting with LEAPS before the book even arrives!.
ABOUT THE AUTHOR Marty Kearney is a popular senior instructor with the Options Institute, the educational arm of the Chicago Board Options Exchange. He has helped brokers develop new business with conservative option strategy such as covered-writing and portfolio hedging, and trained brokerage firms’ compliance department staff. Kearney has also been a regular contributor to many news services including Reuters, Group W, The CBS Radio Network, Derivatives Week, Barron’s, Fortune, Ticker Magazine, SFO Magazine, CNBC, Bloomberg, NPR, and others.
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Table of Contents: Publisher's Preface v
How to Use This Book vii
Meet Marty Kearney ix
Introduction: Profits from LEAPS Options xiii
Chapter 1: A Brief Review of the Basics 1
Chapter 2: Why Bother with LEAPS? 18
Chapter 3: Using LEAPS in a Gifting Program 30
Chapter 4: LEAPS vs. Stock Ownership 40
Chapter 5: Covered Writing with LEAPS 56
Chapter 6: LEAPS Protective Puts and Collars 74
Chapter 7: A Year-End LEAPS Tax Strategy 92
Glossary
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