We found 11 online brokers that are appropriate for Trading Covered Call Investment Platforms.
Covered calls are used to boost investment income. Professional investors write the calls but individual investors can also take advantage of them. In this article titled Selling Covered Calls, we will take an in-depth look at it.
Futures or stock contract owners enjoy several rights including the right to sell the security at any time and at the market price. These rights are not enjoyed in covered calls as the right is handed over to someone else. The buyer gets the right to own the security either on the expiry date or before the expiry date at a strike price or the predetermined price.
In simple terms, it is a contract, giving the legal rights to buy the shares to the buyer on or before the expiration date of the contract. If the seller also owns the underlying assets, the option contract here is considered covered, as the delivery of it can be done without buying on the open market at unfavorable pricing.
The buyer pays a premium to the seller to get the right to buy contracts at a predefined price. The premium is paid on the day that the option is sold. It is paid as a cash fee and the seller keeps the money irrespective of whether the option is really exercised or not.
This means the covered calls are profitable if the stock price moves up to the predefined price. The long stock position generates profit. However, the call expires worthlessly and the call writer collects the premium from the sale.
Suppose an investor buys a stock at the rate of $100 per share and expects the price may rise to $120 within a year. A seller hits a contract to sell at $110 within six months. A covered call is an attractive strategy here.
Selling a $110 six-month cost a premium of $4 a share for the buyer. It would be wise to buy and sell at $120 within a year. If the price reaches the predefined price, the return is 18 percent over six months. If the price falls, there will be a loss.
The biggest advantage is either to add something more to the return or offset the downside risk, taking the premium of course.
It is important for the sellers to hold the shares and this means potential loss if the prices rise within the period.
It is the level of price movement of the underlying market for every point of movement. Suppose the delta of a call option is 0.5, it will increase by 0.5 for every movement in the underlying market. Call buyers look for a higher delta as the strike price could be reached faster.
It is called time decay. It is how much value declines. If the high theta is rapid, the value will depreciate more towards the expiration date.
It measures sensitivity and understands the implied volatility. Options usually have high vega. If the volatility is low, it is a benefit for a call seller.
Investors who find interest in hedging can opt for a covered calls deal. If the market price moves up and beyond the strike price, it is a benefit to the buyer. Sellers owning assets enjoy the right to sell these at any future date at the current market price.
Before wrapping up the article, it is important to note that the covered calls are for professional investors. Beginners and novice traders may run into a loss trying to use this deal. It is suggested that they understand the terms before buying or selling covered calls.
The market is full of uncertainties and wild guesses of the price movements may not work. It is better to learn the skill of predicting the prices. The best predictions help in earning profits. If the predictions turn out to be wrong, a loss may be suffered.
We have conducted extensive research and analysis on over multiple data points on Selling Covered Calls to present you with a comprehensive guide that can help you find the most suitable Selling Covered Calls. Below we shortlist what we think are the best Covered Call Investment Platforms after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching Selling Covered Calls.
Selecting a reliable and reputable online Covered Call Investment Platforms trading brokerage involves assessing their track record, regulatory status, customer support, processing times, international presence, and language capabilities. Considering these factors, you can make an informed decision and trade Covered Call Investment Platforms more confidently.
Selecting the right online Covered Call Investment Platforms trading brokerage requires careful consideration of several critical factors. Here are some essential points to keep in mind:
Our team have listed brokers that match your criteria for you below. All brokerage data has been summarised into a comparison table. Scroll down.
When choosing a broker for Covered Call Investment Platforms trading, it's essential to compare the different options available to you. Our Covered Call Investment Platforms brokerage comparison table below allows you to compare several important features side by side, making it easier to make an informed choice.
By comparing these essential features, you can choose a Covered Call Investment Platforms broker that best suits your needs and preferences for Covered Call Investment Platforms. Our Covered Call Investment Platforms broker comparison table simplifies the process, allowing you to make a more informed decision.
Here are the top Covered Call Investment Platforms.
Compare Covered Call Investment Platforms brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a Covered Call Investment Platforms broker, it's crucial to compare several factors to choose the right one for your Covered Call Investment Platforms needs. Our comparison tool allows you to compare the essential features side by side.
All brokers below are Covered Call Investment Platforms. Learn more about what they offer below.
You can scroll left and right on the comparison table below to see more Covered Call Investment Platforms that accept Covered Call Investment Platforms clients.
Broker | IC Markets | Roboforex | eToro | XTB | XM | Pepperstone | AvaTrade | FP Markets | EasyMarkets | SpreadEx | FXPro |
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Regulation | Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), Cyprus Securities and Exchange Commission (CySEC) | RoboForex Ltd is regulated by the FSC, license 000138/437, reg. number 128.572. RoboForex Ltd, which is an (A category) member of The Financial Commission, also is a participant of its Compensation Fund | FCA (Financial Conduct Authority) eToro (UK) Ltd (FCA reference 583263), eToro (Europe) Ltd CySEC (Cyprus Securities Exchange Commission), ASIC (Australian Securities and Investments Commission) eToro AUS Capital Limited ASIC license 491139, CySec (Cyprus Securities and Exchange Commission under the license 109/10), FSAS (Financial Services Authority Seychelles) eToro (Seychelles) Ltd license SD076 | FCA (Financial Conduct Authority reference 522157), CySEC (Cyprus Securities and Exchange Commission reference 169/12), FSCA (Financial Sector Conduct Authority), XTB AFRICA (PTY) LTD licensed to operate in South Africa, KPWiG (Polish Securities and Exchange Commission), DFSA (Dubai Financial Services Authority), DIFC (Dubai International Financial Center), CNMV (Comisión Nacional del Mercado de Valores), KNF (Komisja Nadzoru Finansowego), IFSC (Belize International Financial Services Commission license number IFSC/60/413/TS/19) | Financial Services Commission (FSC), Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC) | Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), Federal Financial Supervisory Authority (BaFin), Dubai Financial Services Authority (DFSA), Capital Markets Authority of Kenya (CMA), Pepperstone Markets Limited is incorporated in The Bahamas (number 177174 B), Licensed by the Securities Commission of the Bahamas (SCB) number SIA-F217 | Australian Securities and Investments Commission (ASIC), ASIC (406684), Financial Services Authority (FSA), South African Financial Sector Conduct Authority (FSCA), Financial Stability Board (FSB), The Financial Services Agency (JAPAN FSA), Financial Futures Association of Japan (FFAJ), Abu Dhabi Global Markets (ADGM), Financial Regulatory Services Authority (FRSA), Polish Financial Supervision Authority (KNF), Israel Securities Association (ISA), British Virgin Islands Financial Services Commission (BVI), BVI (SIBA/L/13/1049), Central Bank of Ireland | Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), FSCA (FSP Number 50926), Capital Markets Authority (CMA), Securities Commission of the Bahamas (SCB) | Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), British Virgin Islands Financial Services Commission (BVI) | Financial Conduct Authority (FCA) | Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Financial Sector Conduct Authority (FSCA), Securities Commission of the Bahamas (SCB) |
Min Deposit | 200 | 10 | 100 | No minimum deposit | 5 | 200 | 100 | 100 | 100 | 1 | 100 |
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Used By | 180,000+ | 1,000,000+ | 30,000,000+ | 1,000,000+ | 10,000,000+ | 400,000+ | 300,000+ | 10,000+ | 142,500+ | 10,000+ | 1,866,000+ |
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Platforms | MT4, MT5, Mirror Trader, Web Trader, cTrader, Windows, Mac, iOS, Android | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | MT4, Mirror Trader, Web Trader, Tablet & Mobile apps | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | MT4, MT5, TradingView, DupliTrade, myFXbook, Mac, Web Trader, cTrader, Tablet & Mobile apps | Web Trader, MT4, MT5, AvaTradeGo, AvaOptions, DupliTrade, ZuluTrade, Mobile Apps, ZuluTrade, DupliTrade, MQL5 | MT4, MT5, cTrader, IRESS, Mac, Web Trader, Tablet & Mobile apps | MT4, MT5, Web Trader, TradingView, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | MT4, MT5, cTrader, Tablet & Mobile apps |
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Risk Warning | Losses can exceed deposits | Losses can exceed deposits | 76% of retail investor accounts lose money when trading CFDs with this provider. | 76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. | CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.89% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. | 75-95 % of retail investor accounts lose money when trading CFDs | 71% of retail investor accounts lose money when trading CFDs with this provider | Losses can exceed deposits | Your capital is at risk | Losses can exceed deposits | 75.78% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider |
Demo |
IC Markets Demo |
Roboforex Demo |
eToro Demo |
XTB Demo |
XM Demo |
Pepperstone Demo |
AvaTrade Demo |
FP Markets Demo |
easyMarkets Demo |
SpreadEx Demo |
FxPro Demo |
Excluded Countries | US, IR, CA, NZ, JP | AU, BE, BQ, BR, CA, CW, CZ, DE, ES, EE, EU, FM, FR, FI, GW, ID, IR, JP, LR, MP, NL, PF, PL, RU, SE, SJ, SS, SL, SI, TL, TR, DO, US, IT, AT, PT, BG, HR, CY, DK, FL, GR, IE, LV, LT, MT, RO, SK, CH | ZA, ID, IR, KP, BE, CA, JP, SY, TR, IL, BY, AL, MD, MK, RS, GN, CD, SD, SA, ZW, ET, GH, TZ, LY, UG, ZM, BW, RW, TN, SO, NA, TG, SL, LR, GM, DJ, CI, PK, BN, TW, WS, NP, SG, VI, TM, TJ, UZ, LK, TT, HT, MM, BT, MH, MV, MG, MK, KZ, GD, FJ, PT, BB, BM, BS, AG, AI, AW, AX, LB, SV, PY, HN, GT, PR, NI, VG, AN, CN, BZ, DZ, MY, KH, PH, VN, EG, MN, MO, UA, JO, KR, | US, IN, PK, BD, NG , ID, BE, AU | US, CA, IL, IR | AF, AS, AQ, AM, AZ, BY, BE, BZ, BT, BA, BI, CM, CA, CF, TD, CG, CI, ER, GF, PF, GP, GU, GN, GW, GY, HT, VA, IR, IQ, JP, KZ, LB, LR, LY, ML, MQ, YT, MZ, MM, NZ, NI, KP, PS, PR, RE, KN, LC, VC, WS, SO, GS, KR, SS, SD, SR, SY, TJ, TN, TM, TC, US, VU, VG, EH, ES, YE, ZW, ET | BE, BR, KP, NZ, TR, US, CA, SG | US, JP, NZ | US, IL, BC, MB, QC, ON, AF, BY, BI, KH, KY, TD, KM, CG, CU, CD, GQ, ER, FJ, GN, GW, HT, IR, IQ, LA, LY, MZ, MM, NI, KP, PW, PA, RU, SO, SS, SD, SY, TT, TM, VU, VE, YE | US, TR | US, CA, IR |
You can compare Covered Call Investment Platforms ratings, min deposits what the the broker offers, funding methods, platforms, spread types, customer support options, regulation and account types side by side.
We also have an indepth Top Covered Call Investment Platforms for 2024 article further below. You can see it now by clicking here
We have listed top Covered Call Investment Platforms below.
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