http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html Investment Advice and Investment Research with a Contrarian Point of View Fri, 19 Mar 2010 19:55:11 -0500 http://wordpress.org/?v=2.8.3 hourly 1 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25932 Johan Sun, 04 Oct 2009 19:37:49 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25932 Shirley, Remember- That payment is actually their insurance that you are going to buy this 'thing' from them IF it turns very bad! Even if it goes to zero you are still going to HAVE TO buy it! You are simply carrying the risk - and getting paid for it! Very much like a car insurance underwriter who takes a premium for something he does not have , other that contracting to take (buy) your car at full price from you if it gets smashed up and the value of the car is now virtually zero! Insurance companies are nothing other than PUT WRITERS! aka PUT sellers! Shirley, Remember- That payment is actually their insurance that you are going to buy this ‘thing’ from them IF it turns very bad! Even if it goes to zero you are still going to HAVE TO buy it! You are simply carrying the risk – and getting paid for it! Very much like a car insurance underwriter who takes a premium for something he does not have , other that contracting to take (buy) your car at full price from you if it gets smashed up and the value of the car is now virtually zero! Insurance companies are nothing other than PUT WRITERS! aka PUT sellers!

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25833 Kumar R Satre Fri, 02 Oct 2009 14:53:30 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25833 Fabulous article. Will let you know my practical results after adopting your strategy. Fabulous article.
Will let you know my practical results after adopting your strategy.

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25751 Kim Wed, 30 Sep 2009 15:10:49 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25751 Well, it is not differnt from buying GLD upfront, expept the fact that if you buy it at $97 and it goes to $70, your loss is $27, but if you sell a put, your loss is less than $20 because your effective cost was $89.6. Plus it requies less margin than buying the stock. Well, it is not differnt from buying GLD upfront, expept the fact that if you buy it at $97 and it goes to $70, your loss is $27, but if you sell a put, your loss is less than $20 because your effective cost was $89.6. Plus it requies less margin than buying the stock.

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25687 » Buying Gold With a Put Selling Strategy » Buying Stock Indexes Tue, 29 Sep 2009 21:11:57 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25687 [...] market news by Lee Lowell How to Buy Stocks - wikiHow [...] [...] market news by Lee Lowell How to Buy Stocks – wikiHow [...]

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25675 How to Buy Gold… At the Price You Want & Get Paid for It - Contrarian Stock Market Investing News - Featuring Bargain Stocks Tue, 29 Sep 2009 19:30:28 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25675 [...] [...] [...] [...]

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25662 Shirley N. Tue, 29 Sep 2009 17:38:46 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25662 I am puzzled, why would someone give me $1400 for something I don't own and then if the price is above what I want to pay, I would get to keep the $1400? Doesn't make sense to me. Who would want to be out that money? I am puzzled, why would someone give me $1400 for something I don’t own and then if the price is above what I want to pay, I would get to keep the $1400? Doesn’t make sense to me. Who would want to be out that money?

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25636 Francisco Tue, 29 Sep 2009 14:04:35 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25636 I am a newcomer to the options world and I would like to thank to your very comprehensible article. I am a newcomer to the options world and I would like to thank to your very comprehensible article.

]]> http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25634 BOB HUGHES Tue, 29 Sep 2009 13:47:13 +0000 http://www.investmentu.com/IUEL/2009/September/buying-gold-with-put-selling-strategy.html#comment-25634 So in your example, if GLD falls to $70 in December. I have to buy whatever amount I contracted for, at $91 a share? How can this be a no brainer? So in your example, if GLD falls to $70 in December. I have to buy whatever amount I contracted for, at $91 a share? How can this be a no brainer?

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