Jun 4, 2025 · A covered call is an investing strategy that requires a seller of call options to own shares of the underlying security and deliver them if the option is exercised.

Aug 27, 2025 · A covered call gives an option buyer the right to purchase stock shares an option seller already owns (hence, "covered") at a specified strike price and at any time on or before …

May 9, 2024 · What is a covered call? A covered call has 2 components: owning an investment (typically a stock—which we'll use as the example going forward) and selling a call option on …

Aug 22, 2025 · A covered call is an options trading strategy that offers limited return for limited risk. A covered call involves selling a call option on a stock that you already own.

Oct 24, 2025 · A covered call is an options strategy with undefined risk and limited profit potential that combines a long stock position with a short call option. Covered calls are primarily used …

Feb 20, 2025 · The phrase "covered call" derives from the fact that you possess the shares you are offering in the options contract. In essence, your existing stock holdings "cover" the …

What is a Covered Call? A covered call is a risk management and an options strategy that involves holding a long position in the underlying asset (e.g., stock) and selling (writing) a call …

What is a covered call in options trading? A covered call is an options trading strategy that involves selling (also known as “writing”) call options on a stock you already own.

Oct 17, 2025 · A covered call works by buying 100 shares of stock and selling a call option, typically out of the money. If the stock price remains below the strike price of the sold call on …

Oct 9, 2025 · Investors can sell call options contracts without owning the stock -- called "naked" options. But with a covered call, investors own 100 shares of the stock for each options …