Sunday, 23 February 2020

Systematic Put Write - February 2020


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

IBEX 35 Index on February 21st 2020. Source Investing

Very strong gains during the first four weeks of the monthly cycle that faded a bit during the last two-three trading sessions. Very good scenario for our strategy since we keep all the premium obtained selling the February PUT option and we get better volatility for March.

IBEX closed at 9886 points, gaining 206 points or 2,1%. As I had sold a February 9600 PUT, for 136,35€, I keep all premium and book a gain of 1,36%.

Considering this, since its inception, the Put Write Strategy is at +6.0%During the same period, IBEX 35 gained +3,6%.