Investment Strategy Category

Apple (AAPL) Experiment Success

In: Investment Strategy

(for details pls visit www.OptionPundit.net)

So I bit apple for an IV experiment. The results are great and despite a huge 16% run-up in the stock since opening the trade, the experiment resulted in 13.6% gain. Some of the discussion were captured at the forum.
IV profiles also changed significantly, Jul IV has been dropping due to [...]

(for details pls visit www.OptionPundit.net)

Yesterday JNJ and COP announced stock buyback program for US$10 billions and US$15 billions respectively. Should you care?
When a company announces a stock buyback or repurchase, it’s time to take a close look at what’s behind the action. This step can be good news for shareholders or just a smokescreen to [...]

R U ready for the big game?

In: Investment Strategy

(For details pls visit www.OptionPundit.net)

Earning season is just around the corner and big bucks are made (or lost) around this time. Are you ready for the season? Check out the big name that are to announce around Jul expiration timing. 
Here are couple of things that maybe helpful when you are developing a big picture:

Implied volatility [...]

Biting Apple for an experiment

In: Investment Strategy

(For details pls visit www.OptionPundit.net) 

This is something I am trying out for first time. This is a double calendar spread on AAPL and I did this to take advantage from the IV diffrence and contrary to popular belief, I purchased the expensive one and sold cheaper one. The reason why I did this is to benefit [...]

Stock split, to play or not to play?

In: Investment Strategy

There is a general investing philosophy on the street that if a company has announced stock split, the management is signaling strength in the stock and would like to invite more players aka more investors. But wonder why? this is purely my version, this is one of the easiest way for the top management to [...]

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OPN Performance

This assumes a $10,000 starting and fully invested capital. The current phase started when OPNewsletter was re-opened in Jan'08 for Feb'08 expiration. OPN Month is counted as 3rd Friday of each month same as US Equity option expiration day. Comparison with S&P500 or Dow is not shown as it's unfair to expect from such large institution to deliver high returns. I would rather compare with my own target.

OPN Performance (Current) - http://sheet.zoho.com

The Phase-1 assumes from May 2007 till Jan 2008 and starting fully invested capital of $10,000.

OPN Performance (Phase-1) - http://sheet.zoho.com

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Performance Matters (OPN)

  • May'07 +22.3%
  • Jun'07 +33.5%
  • Jul'07 +32.7%
  • Aug'07 +17.9%
  • Sep'07 +6.9%
  • Oct'07 +57.3%
  • Nov'07 +17.1%
  • Dec'07 (Chill-out)
  • Jan'08 +14.8%
  • Feb'08 +11.6%
  • Mar'08 +16.5%
  • Apr'08 +9.2%
  • Commission included from May'08
  • May'08 +1.7%
  • Jun'08 +11.1%
  • Jul'08 +7.1%
  • Aug'08 -13.0%
  • Sep'08 +6.2%
  • Oct'08 +9.0%, only 1 Portf.
  • Nov'08 +5.0%
  • Dec'08 +15.9%
  • Jan'09 +0.4%(Open)

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