Systematic Put Write - January 2020

Summary

Last Friday was January Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on January 17th 2020. Source Investing

Sideways month for the IBEX 35 index, which ended pretty much where it started. The index gained 5 points this month (or around 0,05%).

As I had sold a January 9600 PUT, for 103,35€, I keep all premium and book a gain of 1,07%.

Considering this, since its inception, the Put Write Strategy is at +4,6%. During the same period, IBEX 35 gained +1.5%.

Systematic Put Write - December 2019

Summary

Last Friday was December Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on December 21st 2019. Source Investing

Nice gains this month in the IBEX 35 index, which increases its value in 414 points (or + 4,47%). This is the first time since August 2018 that the index closes over 9500 points.

For December I had sold a 9300 PUT, for 161,35€. Since the underlying closed above this level, I get to keep all the premium, which represent and increase of +1.66%.

Considering this, since its inception, the Put Write Strategy is at +3.5%. During the same period, IBEX 35 gained +1.4%.

Systematic Put Write - November 2019

Summary

Today is November Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on November 15th 2019. Source Investing

Sideways month for the IBEX 35 which ends with a little decline of 68 points (or -0,71%).

For November I had sold a 9300 PUT, for 136,35€. After buying it back, a profit of  97,35€ remains (or + 1.01%).

Considering this, since its inception, the Put Write Strategy is at +1.8%.

Systematic Put Write - October 2019

Summary

Today is October Option Expiration day and it is time to review the movements done following our strategy. I would also like to review last month movements since I was not able to do it on time.

IBEX 35 on October 18th 2019. Source Investing

Both September and October have been profitable for the strategy although the underlying IBEX 35 has outperformed us during this time.

For September I had sold a 8600 PUT, for 202,35€ and for October I sold a 9100 PUT for 125,35€. Both options expired worthless, which represent a profit of 327,70€ (or + 3,50%).

Considering this, since its inception, the Put Write Strategy is at +0,8%.

Systematic Put Write - August 2019

Summary

Last Friday was August Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on August 16th 2019. Source Investing

After a sizable drop, the IBEX 35 index closed at 8635 points, losing 535 points (or -5,83%).

For this month I had sold a 9200 PUT, so the final result after re-buying the sold option is a loss of 390,65€ (or -4,34%).

Considering this, since its inception one year ago, the Put Write Strategy is at -2,7%.

Ugly end for my first year following this strategy. However, I am quite satisfied with it and plan to continue it for another year, profiting from higher volatility levels caused by these drops (second biggest premium has been received for the September Put option). If we keep these levels by the end of the month,  we will be close to break-even while the IBEX stands close to losing 10% from the initial levels.

Let´s take a look to the last month movement and then review the most important parameters of the strategy after this first year.

Systematic Put Write - July 2019

Summary

Last Friday was July Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on July 19th 2019. Source Investing

IBEX 35 index closed at 9170 points, losing 57 points (or -0,31%).

For this month I had sold a 9300 PUT, so the final result after re-buying the sold option is a gain of 34,35€ (or + 0.35%).

Considering this, since its inception, the Put Write Strategy is at +1.7%.

We are now entering the last month before completing our first year continuously selling ATM puts on the IBEX 35. Unless August finishes with a sharp drop (> 3%) we will end up with profits while beating the underlying index with considerably less volatility and using a strategy that is very little time consuming.

Let´s wait another month and see how this first year ends.

Systematic Put Write - June 2019

Summary

Yesterday was June Option Expiration day and it is time to review the movements done following our strategy.

IBEX 35 on June 21st 2019. Source Investing

After some back-and-forth movements, the IBEX 35 index closed almost flat for this month, losing 29 points (or -0,3%).

For this month I had sold a 9300 PUT, so the final result after re-buying the sold option is a gain of 127,35€ (or + 1,33%).

Considering this, since its inception, the Put Write Strategy is at +1,4%.