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%.
Movements and results so far
I started on August 22nd 2018 selling a 9500 September 2018 Put with the IBEX at 9540. This value will be used as base value from now on. These are the last twelve months (complete records can be found here).
So, considering this sixteen month, this is the comparison between the strategy and the IBEX 35 index:
Regarding January, I could not get a fill on my sell order of a 9600 January Put. I will try again tomorrow and update the details here.
Update: Finally I sold a 9600 January PUT option for 103,35€. Very low volatility after some weeks of continous gains in the IBEX 35 index, not a very good setup for our strategy.
No other position is open right now.