Selling naked options, long considered profitable for professional traders but too
risky for most investors, has been surging in popularity. The Complete Guide to Options
Selling avoids dry, complex theory and jargon in favor of a simple, direct approach that
sophisticated investors can use to produce surprisingly consistent results with only
slightly increased risk. This down-to-earth book explains how to apply market
fundamentals--while avoiding common options trading mistakes--to make options selling a
profitable part of any portfolio strategy.
About Authors
James Cordier is president and head trader of Liberty Trading Group,
managing assets for a worldwide client base. Cordier is regularly quoted in financial
media including the Wall Street Journal, Bloomberg News, and Barron's. His weekly market
commentary is published on several major investment websites.
Michael Gross is director of research at Liberty Trading Group. An active
broker, he is involved in writing the firm's research reports and has been quoted in
Bloomberg News. Along with Cordier, his articles have appeared in Futures and Yahoo
Finance.
Option writing strategies that can dramatically improve your odds of profiting--despite
what your broker might tell you
Fewer than 10 percent of options are ever exercised, representing a total loss to the
buyer left holding the option at expiration. Who wins?
The seller who wrote the option, and now keeps the collected premium, free and clear. The
Complete Guide to Option Selling shows you how to consistently be on that winning side,
outlining a clear, high-probability approach for augmenting investment returns through
selling options. Avoiding complex theory and mathematics to focus on a technique that can
be understood and implemented by any investor, this straightforward book explains:
The basic mechanics of selling options and profiting from "time premium"
Numerous advantages of selling options versus the more common, and lower probability,
strategy of buying options
Professional strategies for selecting optimum markets and options
Retail brokers who downplay option selling as "too risky" don't understand that,
when done correctly, the risk of option selling is actually very manageable. The Complete
Guide to Option Selling will show you how to take full advantage of option selling, and
make it a profitable and lower-risk component of your overall portfolio program.
Increasing numbers of investors are looking beyond unwarranted fears of "unlimited
risk" to see option selling for what it really is--a commonsense, risk-controlled
approach that dramatically improves an investor's chances of profiting while providing
better-than-average returns in every type of market.
The Complete Guide to Option Selling explains how to make option writing on futures a
profitable part of your trading and investing program. Unlike most options books,
seemingly written for quants and mathematicians, it explains in plain English who wins and
who loses in the options game, then provides step-by-step strategies for staying on the
winning side.
Authors James Cordier and Michael Gross are active futures brokers with decades of
combined experience in the futures trading industry. In The Complete Guide to Option
Selling they cut years from your learning curve with hands-on details including:
Why selling options on futures is markedly similar to selling options on equities, with
far better profit potential
How to select the right market, strike price, and month to improve the likelihood that
options you write will expire worthless
Strategies for controlling risk by selling far out of the money options, with low deltas,
diversified across different markets
All about SPAN margin--the key to consistently high returns
Fundamentals of select futures markets, from soybeans and corn to cattle, energies,
precious metals, and others
How to utilize reliable seasonal tendencies, along with examples of the most consistently
tradable patterns
Six mistakes new option sellers commonly make, and how to learn from and preempt them in
your own account
Methods for trading profitably without spending hours each week studying the markets
Professional investors have relied on the proven performance and stability of option
selling for decades. They know that, while no investment strategy can be both lucrative
and risk-free, option selling provides a risk/reward ratio that is difficult if not
impossible to come by in any other investment.
The Complete Guide to Option Selling explains the why, what, where, and how of writing
options. Written for the individual investor, it reveals techniques you can use to
seamlessly integrate the knowledgeable writing of options into your own investment
program.
Hardback
245 pages
