Susan...Maybe Jack should just buy ARR (yield 22.8%)...that way he will get more dividend than having both SFL (yield 7.6%) and VLCCF (yield 11.3%)....18.9% (SFL & VLCCF) vs 22.8% (ARR)...Jack can own one stock (ARR) and get 3.9% more yield than having two different stocks (with the same amount of money)...! That would make more sense that buying options that he may not understand...! Disclosure...history has showed that I am right better than 70% of the time...!
about 30% of the time, right? A very good reason to use options to collect a premium and then wait for the stock to come to a price you feel is reasonable...even if you are wrong by a small percentage you can still make nice money using this method.
Susan...If I break even on a holding with dividend add back I consider that a loss...because idle money is still losing...! Some investors would say that I was right 80% of the time...but that is not the way I push the numbers...! Susan, if I was as smart as you I would play the options... but I am just to stupid to do that (or maybe chicken)...! Good luck to you...!
A-date...You are correct and make a strong point...but is that not what stop loss orders are for...? That said, on dividends, I always think that it is better to start at the top instead of the bottom (higher is better)...! Please remember, that there are a lot of companies that pay no dividend and investors buy those stocks everyday...!
Susan (aka-sid66, fasstcarman, marymary999, heartbreaker101 and etc.)...Have you notice that VLCCF is down 2.6% at this time today...? And have you notice that ARR is up about 2% at this time today...? Gosh, are we having fun yet...? That said, Jack...please, listen to Bayman667 (he is a very sharp investor)...!
having fun right now....started replacing my naked puts which I covered the day before ex-div about 2 weeks ago...
sold some $17.50's for 2.25 today and will keep selling either $15 or $17.50 strike price. This is a far better stock than SFL which is only holding up this week because of ex-div around the corner. Still keeping my naked puts with $15 strike price though...that is a reasonable price for this stock.