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5 Things I’ve Learned in 5 Months of Selling Options

NerdWallet·Sam Taube·3 days ago
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Author’s note: This essay assumes that readers have a basic familiarity with options — like the difference between puts and calls, and the difference between buying and selling options. If you don’t, our options trading glossary may come in handy. The investment positions, opinions and predictions described here are mine alone and should not be interpreted as financial advice, nor are they attributable to NerdWallet as a whole. My 5 options selling lessons 💡 I like to think I’m a pretty smart guy. I have an economics degree, I’ve been writing about investing for most of my adult life, and I’m generally pretty clever and thrifty with money. So I must know what I’m doing in the markets. Right? That’s why I made the decision so many overconfident investors have made before me: To trade options. But I wasn’t going to buy puts or calls. Oh no. I had a fancier plan: I was going to enter and exit positions by selling options on them, earning premiums and capital gains in the process.…

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