Retirement Income

Stocks and Options

May 27th, 2008 at 11:00 am

Sold BIOVAIL CORPORATION (BVF) Oct08 Calls

I sold 4 BVF Oct08 15 Covered Calls for a net deposit in my taxable account.

This is another one that I had been chasing  trying to get a premium/strike price combination that was a little better that the current bid.  It finally hit last Friday.

BVF pays a good dividend, currently 12.42%, and a so-so premium.  I own this lot of BVF at $12.54 so would be okay if it were called away at 15 but I would probably try to roll it out if I thought that looked like a real risk.  I like owning stocks that pay dividends and collecting the additional income through Covered Call premium.

You must be logged in to post a comment.