You can either sell calls against stock you already own or execute a (buying stock and selling the call simultaneously). Covered Calls Strategy: Generate Income and Manage Risk
To execute this, you must own at least of the underlying stock for every 1 call option contract you sell. buying covered calls
: The Option Premium is yours to keep regardless of whether the stock is "called away" or the option expires worthless. 2. Steps to Buy (Set Up) a Covered Call You can either sell calls against stock you