I posted this on X/LI yesterday but don’t know if anyone here really sees my posts.

Is covered call writing (CC) an efficient strategy for cash flow generation?

I dug into this for my latest article. My conclusion: No

Here’s how I tackled it and a bit of detail to explain my conclusion. 👇

Do covered call strategies shine in “flat markets”? It’s an often-cited (almost assumed) benefit of this cash flow generating strategy.

My latest analysis was undertaken to test if the strategy lives up to the claim? 🧵 1/4

More than 1/4 of the S&P500’s 10yr annualized return came from multiple expansion.

Highly unlikely to enjoy that tailwind in the next 10yrs. Even with same robust earnings growth, index total return is likely to be 4%-6%/yr IMO

More on this in my latest article. www.highviewfin.com/blog/piling-...

When sending prospecting emails, get the name of your prospects correct. This was the second email with the wrong name from the same sender. 🤣

Nobody was asking for this. Rather, it is just the latest in a long string of examples of the fund/ETF industry launching a bunch of products and seeing what attracts assets.

This is helpful only to the sponsor generating the fee revenue. It helps nobody else. Nobody.

Gee, what a surprise. 🙄

Dr. Mark Meldrum on #MSTR: "You won't keep a lot of the money you make because you won't understand the game... You think you're playing basketball [delta], but you're playing on a soccer field [gamma]."

"You're being fleeced in so many ways."

www.youtube.com/watch?v=j_6U...

New: Even Dimensional Fund Advisors struggles with inflation statistics www.michaeljamesonmoney.com/2024/12/even...

TL;DR: All equity ETFs are getting double the flows of more balanced ETFs.

A good, old fashioned bear market will reverse this. It's a matter of when, not if.

And this isn't doom-and-gloom; it's just a stock market reality.

The Globe's angle: Bill (Holland) & Kurt (MacAlpine) were right - vindicated by the recently-announced privatization.

Getting bought at 8x earnings, near its 2014 price is hardly something to brag about. Then again, Bill & Kurt have ~$440M between then, so what do I know? 😉

After I wrote my recent article about the S&P 500’s lesser-known traits, I had ChatGPT (free version) write one. I then sent both to a couple of colleagues to see which they liked better 😉

My original is linked below - with a few screenshots of the AI version. 👇
www.highviewfin.com/blog/the-sp-...

I can’t believe I created yet another social account. I signed up but have never used threads. Might delete that one.

Well, let’s see if I use this after today 😉

#pfcan