Covered call - The sale of call options while long the underlying instrument. The covered call writer gives up any potential upside beyond the strike of the calls in exchange for the premium income.
A short call option position in which the writer owns the number of shares of the underlying stock represented by the option contracts. Covered calls generally limit the risk the writer takes because the stock does not have to be bought at the market price, if the holder of that option decides to exercise it.
Covered call : the sale of call options while long the underlying instrument. the covered call writer gives up any potential upside beyond the strike of the calls in exchange for the premium income.
a short call option position in which the writer owns the number of shares of the underlying stock represented by the option contracts. covered calls generally limit the risk the writer takes because the stock does not have to be bought at the market price, if the holder of that option decides to exercise it.
Covered call