Investors have to start looking for opportunities at these levels, says Kevin Simpson
Kevin Simpson, founder and chief investment officer at Capital Wealth Planning, and Kevin Nicholson, RiverFront Investment Group global fixed income co-CIO, join CNBC’s ‘Squawk Box’ to provide their market outlooks ahead of the open.
MONEY MANAGER & COVERED CALL ADVISOR IN NAPLES, FLORIDA
At Capital Wealth Planning. LLC, we work as a money manager in Naples Florida, offering institutional wire houses and regional broker-dealers throughout the country covered call portfolios through managed account WRAP platforms. The services provided are that of a registered investment advisor.
IMPORTANT NOTE: Capital Wealth Planning, LLC, (CWP) is an SEC registered investment adviser. SEC Registration does not imply a certain level of skill or training. Capital Wealth Planning, LLC only transacts business in states where it is properly registered or in compliance with applicable state regulations. Individualized responses that involve actual or contemplated securities transactions or the rendering of personal investment advice for compensation will not be made absent compliance with all applicable investment adviser regulation requirements. Please contact the CWP if there are any questions.
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Covered call option cash flow for any portfolio will vary depending on actual portfolio positions, option premiums received, individual security price volatility, and general stock market volatility. Positions covered by call options may be called away, creating realized capital gains or losses. Cash flow is not guaranteed over any period. More information may be found in CWP’s Form ADV. The actual income from the strategy will depend, to a large extent, on the target price of the underlying security. Therefore, the amount of incremental cash yield is predominantly determined by investors’ individual risk tolerances and willingness to sell the underlying position.
The Dow Jones Industrial Average (DJIA), also known as the Dow 30, is a stock market index that tracks 30 large, publicly-owned blue-chip companies. The S&P 100, a sub-set of the S&P 500®, is designed to measure the performance of large-cap companies in the United States and comprises 100 major blue-chip companies across multiple industry groups.
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While CWP takes considerable care in reducing the possibility of having shares called away, there can be no guarantee that the owner of the call option will not repurchase or exercise the option prior to CWP’s repurchase of the sold option. Investing involves risk and you may incur a profit or a loss. Past performance is no guarantee of future results. There is no assurance that any investment strategy will be successful.
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All opinions expressed by Jeff Saut (“Saut”) may have been previously disseminated by Saut on television, radio, Internet or another medium. You should not treat any opinion expressed by Saut as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of his opinion. Saut’s opinions are based upon information he considers reliable, but neither CWP nor its affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Saut, CWP, its affiliates and/or subsidiaries are not under any obligation to update or correct any information provided. Saut’s statements and opinions are subject to change without notice. No part of Saut’s compensation from CWP is related to the specific opinions he expresses. CWP’s services should be considered in connection with its written disclosure brochure (i.e., Form ADV Part 2A), a copy of which is available for free by calling (239) 593-2100 or emailing firstname.lastname@example.org.
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