I am continuing to raise cash.

music selection:  “Through Glass” — Stone Sour

weigh-in:  213.0 +0.6

Of my Friday expiries, MSFT, LNG, and DIS left me with open long positions.  I have exited LNG by selling 400 shares at 40.99.  That raised 16,396 in cash and booked a 3,276 profit in about 8 months.  For Microsoft (MSFT), I sold MSFT161125C00057500 for 1.50.  The trade will be in force for 40 days and yields 23.8% annualized.  I hope to get called to continue raising cash.  For Disney (DIS), I sold DIS161125C00100000 for 8 cents a share.  The trade will be in force for 40 days and yields a miserable 0.73% annualized.  I remain eligible to collect dividends at least.  I could be some time before I am able to exit this position profitably.

I also did some tax loss harvesting on Capital Products Partners LP (CPLP).  I sold 4283 shares from Interactive Brokers for 3.07 a share.  That raised 13,148 in cash and resulted in booking a 15,467 capital loss (ouch!)  The position was roughly break even after dividends collected during the holding period but harvesting the tax loss was more important than hoping for a full price recovery.  I should have used a trailing stop loss on this one and locked in a fat gain.  Live and learn.  I also sold 619 shares of CPLP from my Wells Fargo account.  That raised 1900 in cash and resulted in booking a 2,204 capital loss.  I no longer expect a tax liability for 2016 and should qualify for the maximum Obamacare subsidy.  Bonus!

I redeployed the cash proceeds from CPLP.  In Interactive Brokers, I sold BPT161118P00020000 for 1.00 a share.  That trade will be in force for 33 days and yields 55.30% annualized with 5.48% downside protection.  In Wells Fargo, I actually put some additional cash back in the portfolio (withdrawal rate will reflect this change at month end).  I bought Advent Claymore Convertible Securities and Income Fund (AGC).  I picked up 579 shares at 5.55 each.  I’ll earn 10.16% yield on those shares.

Devour your prey raptors!

Monday trades

Never miss another opportunity to devour prey!

13 thoughts on “Monday trades

  • October 17, 2016 at 8:28 pm
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    Hi Raptor, have you exited your UVXY put position? Or any plan? I am watching UVXY closely and would like to learn more of your this strategy. Thanks.

    Reply
      • October 19, 2016 at 10:22 pm
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        Hi

        Didn’t your strike price of UVXY was at $4 ?? In your open positions it appears to be at $13, what did I missed??

        Reply
  • October 17, 2016 at 10:08 pm
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    Raptor,

    What are your thoughts on NEA right now. It has dropped from the low $15.00 range a couple of months ago to around $13.50 currently. I’m thinking about adding to my shares.

    MDP

    Reply
    • October 18, 2016 at 12:44 am
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      NEA is currently at an attractive 10.5% discount to NAV. I’m full up there but think now is a decent time to buy.

      Reply
  • October 18, 2016 at 5:19 am
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    hey 🙂

    why are you selling a call on disney with 8 dollars profit?
    what was your entry point at disney?

    best regards
    Chri

    Reply
    • October 18, 2016 at 2:28 pm
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      entry point was 100 and that is my strike to exit. It’s a little silly but it’s all the market is offering right now. :-/

      Reply
  • October 18, 2016 at 9:56 pm
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    For AGC, do you mean 10% dividend yield, or is that a typo?

    Reply

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