Diversified fund covered calls
Hold whole lots of fund shares and sell calls against them to collect premium.
Results unavailable
Complete option marks for held positions are missing from the research sample, so a comparable return and risk record is unavailable.
Experimental · Alpaca paper only · Fixed settings. Profitability has not been established. Positions can remain held overnight.
Choose your own connected paper account and explicitly confirm the start in Portfolio.
- Return
- —
- Sharpe
- —
- Trades
- —
Entry rules
Buy or hold 100-share lots and select calls near 30 delta; add received premium to cash.
Held overnight, repeated across cycles
Repeat the covered-call cycle after expiry. The fund shares can remain held across cycles; assignment sells the covered lot.
The existing income executor manages option orders and assignment during market sessions.
Exit rules
Options may expire or be assigned. The underlying shares can stay invested between option cycles.
Capital and risk
Whole 100-share lots or the cash needed to buy them. Capital requirements depend on the fund and strike.
Premium does not remove the fund's downside risk. Covered calls also limit upside; cash-secured puts can result in buying shares during a decline.