Re-establish Short Call in C

As discussed here CCI has a long position in the financial sector etf (xlf) via the Jan 15 $10 Call, that has usually been hedged via a shorter duration short call in Citigroup (C).

With financial stocks rising, CCI decided to re-establish a short call in Citigroup as a hedge against the long. leveraged position in XLF held in the portfolio. Specifically,  with C pushing through $50, CCI sold the Dec  21 $52.50 call at $.44

Since inception on Jan 8, the performance of various potential holdings as of the time of this trade are shown below:

• The XLF etf  continues its excellent performance up 23.2%! That is comprised of 21.9% unrealized  cap gain, and 1.3% in dividends.
• The leverage obtained by instead simply holding the Jan 15 $10 call has generated and unrealized, leveraged, capital gain of 53.7%.  (leverage is great when it works!!!)
• The leveraged, long/short strategy defined in this thread is up 49.7%. That is comprised of 36.6% in unrealized leveraged capital gains, 13.1% in realized option premium.  The short call position described in this post provides about a 4.7% hedge/option premium opportunity. 

Note: C reported earnings and they did not seem to push the stock higher. This reduces the volatility/risk of the short call. As the price of the option decays look for CCI to close or roll this position relatively soon.