Covered Call in EEM Re-established

The Index Covered Call Trading Plan  (aka: ICC) is CCI's approach for managing a position of index ETFs and related covered calls.  The most recent trade against this plan is described below.  A reader can find details about the rational and management of the trades at the ICC trading plan tab on CCI's home page. 

UNDERLYING ETF: EEM   

DESCRIPTION: iShares Emerging Market Shares

 

TRANSACTION TYPE: Emerging market stocks continue their swoon. The June 14 $42 options expired this past weekend generating a $.40/contract gain to somewhat mitigate the loss in the underlying ETF.  CCI re-established a covered call position as described below.

 

TRANSACTION DATE: Mon.  6/17/13

 

Action: Sell to Open  

Exp. Date: June 28, 2013 (two weeks out) 

Strike: $40.50

Price: $.29

 

Net credit/contract: $.28 after commissions