Systematic Covered Writing

... more than just covered calls!

A few very important comments, followed by a proposal . . . Systematic Covered Writing is a process designed by and for long-term investors, it is not a 'get-rich-quick' scheme.  SysCW is based on five principles, one of the five is imbedded in the following observation by Nick Murray:

If markets and/or investments lent themselves to rational analysis in any significantly predictive way, somebody (or, more properly, somebody's computer) would have perfected that analysis long since, and would have taken away all the chips of everybody else at the table. This has not happened. And if it hasn't happened by now--with every computer nerd in the world washing through his computer every recorded trade since the Assyrians swapped wheat to the Babylonians for bronze--it ain't gonna happen. The secret [to investing] is: there is no secret. (Murray, 1996,p.38)

 Reference:

Murray, N. (1996). The Excellent Investment Advisor. New York: Nick Murray

If you agree with what you just read, then you should thoughtfully

consider the following . . .

Systematic Covered Writing is a unique process.  SysCW, as a business, takes an unusual marketing approach with the following thoughts in mind:

•     Covered writing is not for everyone, but it should be at least considered by anyone that invests.
•     A significant amount of information has already been provided for free.  Not just a pamphlet promising dramatic returns, or historic examples of great returns that 'could have been made', but real examples with an ongoing history.  In addition to the 'what' to do, the examples suggest the 'why' to do it.
•     The historical examples were diversified over a number of different stocks and 'situations'.
•     Most important . . . your only investment has been your time!

It is hoped that the astute reader will agree that a lot of information has been shared with absolutely no investment or commitment up front.  It's a learning process . . . and the process is just beginning.  There are expenses to providing this information. 

Today . . . I have included a FREE link to an example that was sent to subscribers on March 30, 2006. If you trade in a taxable account . . . you should view this example even though it is 'dated'.  Click the button below:

"If you will continue this 'education' process . . . I guarantee that you will know more about writing covered calls than 99% of the licensed brokers in this country." *

---

NOTE: You will not believe the amount of information you will receive during during the first month of your subscription.   So, here's an offer you should not refuse . . . if after 30 days you are not completely satisfied with your subscription, the covered writer will gladly refund 100% of your subscription payment.

Yes . . . a 100% money back guarantee!

Just how good is the information . . . sign up and find out. You have nothing to lose! And please, keep and use the spreadsheets and examples as food for thought!

---

DELUXE SUBSCRIPTION - The DELUXE  SysCW subscription is for those that want to continue the learning process, or for writers that would like an alternate point of view.  The information delivered via email will illustrate the use of the Systematic Covered Writing process on over 100 individual stocks over the coming year.  It is important to maintain the understanding that the examples are provided for educational purposes only.  Here is what you will receive:

•     Between 20 and 30 email examples per month. Some will cover strategies that were not  included in the free trial.
•     Direct email access to a team of covered writers willing to help you understand the SysCW process.
•     Initial Positions emailed the same day they are placed.  Please note that Systematic Covered Writing is not a 'timing' strategy.  There is no urgency.  An Initial Position established today, could also be established three weeks from today or possibly three months from today. Initial positions are based on a math exercise.  Once suitability issues are satisfied . . . if the 'math works'. . . .just do it!  It is important to realize that not all positions are suitable for every investor.  There is also no guarantee that 'the math' will work in the future.
•     Detailed information about the theory behind Systematic Covered Writing.  "If you don't know why you are doing something . . . then why are you doing it?" There are literally 100's of pages to review.
•     The formats for the Initial Position 'Math Exercise',  The Historical Position Tracker and the Realized Capital Gains Report and the various math exercised will be sent over the coming months.
•     Email support for the use of the Excel worksheets.
•     On line video explanations of strategies and record keeping as they are produced.
•     Each month a new detailed explanation of the strategies used during the SysCW process.
•     The SysCW Web site has literally hundreds of real historic examples as well as current active positions.  Each time activity takes place, you will receive an email update.  If you really want to learn . . . this is the way to do it!
•     Access to the SysCW Active Portfolios. Here you will find literally hundreds of ACTIVE positions as well as the complete historical data for all CLOSED positions for each portfolio.
•     Ten to 20 additional email examples per month of Systematic Covered Writing strategies and positions. This means you will have access to 30 to 50 historical examples of Systematic Covered Writing.  An amazing amount of information for a minimal expense.

DELUXE SUBSCRIPTION  $19.95 per month Or pay for 10 and receive TWELVE!

Which would work better for you, a monthly payment or the convenience and savings of a yearly payment?  Please select from the list below.   Your satisfaction is 100% guaranteed.  You may cancel your subscription at the end of any billing cycle.  A lot of individuals have paid a lot more for a lot less than you will receive from Systematic Covered Writing.

WARNING : Once your payment is received, there may be a delay in receiving your Username and Password. Please be patient, it will arrive within 24 hours. In most cases, your subscription will be processed within a few hours. Occasionally, if the office is closed due to vacations, it may take longer than a day.

DESCRIPTION	AMOUNT	SUBSCRIPTION   LINK
Deluxe (Monthly)	$19.95
Deluxe (Yearly)	$199.50

For those that would rather not pay via the internet, I will accept payment by check and or direct bank to bank transfer.  Please request the necessary information.

The belief system behind any investment strategy or philosophy should be understood and adopted prior to any assets being invested.  The Principles listed above, form the foundation of the belief system behind Systematic Covered Writing.  One can agree with the statements made or one can disagree. If 'agreement' is the path taken, then an understanding of the foundation behind the strategies will be the destination.

---

This is a solicitation for the Covered Writer's Systematic Covered Writing  email service. The service will provide educational examples using the strategies of Systematic Covered Writing as they apply in today's marketplace. This service shall not be held liable for the suitability or future investment performance of any securities or strategies discussed. Historical examples are just that, historical. The transactions listed actually took place. The cash generated by the examples is not to be taken as representative of any individual's ability to generate similar amounts in the future.

---

 

 

 

 

PRINCIPLE ONE

When considering any individual stock, it is fundamental to acknowledge that, in the real world, whether the value of that stock will go up, will go down or will stay the same . . .  nobody knows!

PRINCIPLE TWO

Once an individual stock has been purchased for a  portfolio, there are a limited number of changes that can take place between the purchase price and the  value of the  stock at a specified date in the future.  These possibilities could be described as follows:

•     The stock's value can increase by over 20% during a specified time period.

•     The stock's value can decrease by over 20% during a specified time period.

•     The stock's value can vary with an increasing value from zero to plus 20% during a specified time period.

•     The stock's value can vary with a decreasing value from zero to minus 20% during a specified time period.

•     The stock's value can vary with an overall unchanged value.

PRINCIPLE THREE

Someday!  Someday, the market will be higher than it is today.  Whether you 'measure' the market by the Dow, the Standard & Poor's 500 or the NASDAQ, you are confident that 'someday' the overall market will be higher than it is today (or whatever day you initially invest). This is a simple principle, but an important one to keep in mind. 

PRINCIPLE FOUR

The bulk of the funds allocated for stock purchases in a portfolio must be available for the possibility  of long-term investment periods.  If the funds are 'needed' in a few months, or even one year, then they should not be invested in the market in the first place.  With Systematic Covered Writing there may be times when a stock is held  for a number of years.

It is important for the investor not only to 'think' long-term, but also be able to invest for the long-term.  Systematic Covered Writing is not a get rich quick program, but rather a set of specific strategies where the purpose is to consistently grow wealth over time. .  Long-term can mean a lot of things, but in general three to five years is considered a reasonable time period needed for the majority of positions in a well diversified portfolio.

PRINCIPLE FIVE

"Money does not care."  Systematic Covered Writing is definitely not a buy and hold strategy. In fact, there may be many times when selling a stock is exactly what the investor will want to do.  "Your money does not care what it owns, so why should you?"  The goal of Systematic Covered Writing is the growth of wealth through increased stock holdings, but not any particular stock.  If it makes sense to sell it . . . then sell it.

There is nothing wrong with going back to cash when a strategy works.   There may be times when an individual stock appreciates dramatically, but as long as the  position generates a reasonable return on the investment, why fret about what 'could have' been made if the position were not part of a Systematic Covered Writing portfolio?  Hind sight is, and always will be ... twenty-twenty.

Return to top

---

* The only assumption is that you read the material sent to you and that you ask questions on thoughts that are unclear.  Why can I make this guarantee?  Because you will not find one broker in the country that has a client's portfolio entirely invested in covered call positions with the diversity of holdings that Systematic Covered Writing suggest.  If 'they' are not doing it, then they have no experience as to how to do it!

SYSTEMATIC COVERED WRITING
Copyright © 2005. All rights reserved.
Revised: 11/09/11