{"product_id":"the-stock-option-income-generator-isbn-9780470481608","title":"The Stock Option Income Generator","description":"\u003cp\u003eA straightforward guide to generating consistent income by selling call options on selected stocks\u003c\/p\u003e \u003cp\u003e\u003ci\u003eThe Stock Option Income Generator\u003c\/i\u003e outlines a low-stress approach to making predictable profits no matter what the state of the overall market. Harvey Friedentag, a registered investment advisor who has been successfully using this strategy for more than thirty-six years, shows how to pick stocks and then sell call options against those stocks to generate a constant source of income. With this book, you'll quickly learn to\u003cbr\u003e \u003c\/p\u003e \u003cul\u003e \u003cli\u003eMake consistent profits in the stock market and increase your gains\u003c\/li\u003e \u003cli\u003eProtect stock holdings from price declines, cutting your losses\u003c\/li\u003e \u003cli\u003eProfit from big market moves as well as sideways moves\u003c\/li\u003e \u003cli\u003eReceive a controllable tax shelter from an option income portfolio\u003c\/li\u003e \u003cli\u003eBuy more stocks for less money\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eFriedentag's strategy is ideal for anyone who wants to generate better returns than the overall market averages, with less risk, and receive the benefits of tax-advantaged investing.\u003c\/p\u003e \u003cp\u003ePreface xiii\u003c\/p\u003e \u003cp\u003eAcknowledgments xvii\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1 Fear and Ignorance 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Stock Market Crash of 1929 2\u003c\/p\u003e \u003cp\u003eInvestment Knowledge + Stock Market = Profits 6\u003c\/p\u003e \u003cp\u003eUnderstanding Investor Behavior 6\u003c\/p\u003e \u003cp\u003eThe Crash of 2008 7\u003c\/p\u003e \u003cp\u003eWhat to Do First 8\u003c\/p\u003e \u003cp\u003eMy Investment History 10\u003c\/p\u003e \u003cp\u003eSummary 13\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2 Invest with Confidence 15\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWhat is Investing? 18\u003c\/p\u003e \u003cp\u003eAsset Allocation 18\u003c\/p\u003e \u003cp\u003eRisk versus Reward: Finding Your Balance 19\u003c\/p\u003e \u003cp\u003eThe Three Strategic Factors 22\u003c\/p\u003e \u003cp\u003eStocks: The Long-Term Core 23\u003c\/p\u003e \u003cp\u003eDefining \u003ci\u003eInvesting \u003c\/i\u003eand \u003ci\u003eFear \u003c\/i\u003e29\u003c\/p\u003e \u003cp\u003eMarket Madness: Black Monday, October 19, 1987 31\u003c\/p\u003e \u003cp\u003eMarket Anxiety is Caused by Many Factors 32\u003c\/p\u003e \u003cp\u003eYear 2008: The Collapse of the Stock Market 32\u003c\/p\u003e \u003cp\u003eInvesting and Gambling 34\u003c\/p\u003e \u003cp\u003eInvestment Policy Statement 35\u003c\/p\u003e \u003cp\u003eDiscipline Can Be Really Good for You 35\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3 An Overview of How to Invest 37\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eInflation 38\u003c\/p\u003e \u003cp\u003eInvesting in Stocks 39\u003c\/p\u003e \u003cp\u003eContrarian Investing 48\u003c\/p\u003e \u003cp\u003eGrowth Stock Investing 48\u003c\/p\u003e \u003cp\u003eCommon-Sense Stock Selection 49\u003c\/p\u003e \u003cp\u003eDividend Income Stock Investing 50\u003c\/p\u003e \u003cp\u003eKeep in Mind 50\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4 Stock Picking, Research, and Annual Reports 53\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eQuestions for Investment Decisions 54\u003c\/p\u003e \u003cp\u003eSources of Investment Information 55\u003c\/p\u003e \u003cp\u003eTrade Press 57\u003c\/p\u003e \u003cp\u003eInvestment Clubs 58\u003c\/p\u003e \u003cp\u003eReading the Annual Report 59\u003c\/p\u003e \u003cp\u003eThe Quarterly Report 66\u003c\/p\u003e \u003cp\u003eChanging the Rules 66\u003c\/p\u003e \u003cp\u003eAnnual Meetings 67\u003c\/p\u003e \u003cp\u003eStock Selection Summary 68\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5 How to Read the Financial News 71\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eGuide to the Economy and the Stock Market 74\u003c\/p\u003e \u003cp\u003eYour Wallet Can Be a Leading Economic Indicator 76\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6 The Art of Investing, Risk, and Reward 79\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eStocks or Bonds? 80\u003c\/p\u003e \u003cp\u003eMarket Timing 81\u003c\/p\u003e \u003cp\u003eAvoid Common Investment Risks 82\u003c\/p\u003e \u003cp\u003eRisk Breeds Fear 83\u003c\/p\u003e \u003cp\u003eGeneral Investment Strategies 85\u003c\/p\u003e \u003cp\u003eThe Tools of Contrarian Investing 89\u003c\/p\u003e \u003cp\u003eClassic Stock Market Statements 89\u003c\/p\u003e \u003cp\u003eMadness of Crowds 90\u003c\/p\u003e \u003cp\u003eTake Advantage of the Pros 92\u003c\/p\u003e \u003cp\u003eInsider Information 95\u003c\/p\u003e \u003cp\u003eInsider Trading is Not Always Illegal 96\u003c\/p\u003e \u003cp\u003eBuy, Sell, or Hold? 97\u003c\/p\u003e \u003cp\u003ePerformance Records 100\u003c\/p\u003e \u003cp\u003eInvesting Considerations 100\u003c\/p\u003e \u003cp\u003eTransaction Costs Compared 101\u003c\/p\u003e \u003cp\u003eTo Make Money in the Stock Market, Don’t Lose Any 102\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7 Dividend Reinvestment Plans 105\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eDividend Reinvesting Plans and Dollar Cost Averaging 107\u003c\/p\u003e \u003cp\u003eThe Compounding Effect 108\u003c\/p\u003e \u003cp\u003eDRPs: Advantages for the Investor 108\u003c\/p\u003e \u003cp\u003eDRPs: Advantages for the Companies 109\u003c\/p\u003e \u003cp\u003eUsing DRPs to Select Stocks 109\u003c\/p\u003e \u003cp\u003eSafety with a Small Investment 110\u003c\/p\u003e \u003cp\u003eDividend Reinvestment Plans and the Compounding Effect 110\u003c\/p\u003e \u003cp\u003eThe Dividend Debate 110\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 8 Picking and Dealing with a Stockbroker 113\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWe Invest to Make Money 114\u003c\/p\u003e \u003cp\u003eThe Buck Starts Here 115\u003c\/p\u003e \u003cp\u003eShocking Facts: Is Research from Wall Street Useless, or Worse? 116\u003c\/p\u003e \u003cp\u003eThe Stocks in the Dow Jones Averages 118\u003c\/p\u003e \u003cp\u003eToday’s Bargains Can Be Tomorrow’s Winners, and Today’s Winners Can Be Tomorrow’s Losers 120\u003c\/p\u003e \u003cp\u003eWhy Use a Discount Broker? 121\u003c\/p\u003e \u003cp\u003eUnderstanding Procedures 122\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 9 Advanced Investing and Goal Setting 131\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eFinancial Failure 132\u003c\/p\u003e \u003cp\u003eMoney × Return × Time = Your Goal 134\u003c\/p\u003e \u003cp\u003eYour Money 135\u003c\/p\u003e \u003cp\u003eYour Return 136\u003c\/p\u003e \u003cp\u003eYour Time 136\u003c\/p\u003e \u003cp\u003eInvestment Risks 138\u003c\/p\u003e \u003cp\u003eRisk-Reward Relationship 139\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 10 Building Your Portfolio 141\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eHow the Pros Choose Stocks 142\u003c\/p\u003e \u003cp\u003eBenjamin Graham, the Value Investor 143\u003c\/p\u003e \u003cp\u003eHow Other Professionals Invest 145\u003c\/p\u003e \u003cp\u003eValue versus Stock Price 146\u003c\/p\u003e \u003cp\u003eBuying and Selling Stocks 147\u003c\/p\u003e \u003cp\u003ePortfolio Management Guidelines 150\u003c\/p\u003e \u003cp\u003eA Reliable Way to Invest 155\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 11 Basic Investment Guidelines 159\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Realities of Investing: Mind over Matter 159\u003c\/p\u003e \u003cp\u003eDon’t Panic 160\u003c\/p\u003e \u003cp\u003eDo Not Try to Predict the Market 160\u003c\/p\u003e \u003cp\u003eCapitalize on Stock Market Anxiety and Euphoria 162\u003c\/p\u003e \u003cp\u003eRemember, No One Becomes Poor Taking a Profit 163\u003c\/p\u003e \u003cp\u003eUnderstanding Bankruptcy 164\u003c\/p\u003e \u003cp\u003eKey Considerations 166\u003c\/p\u003e \u003cp\u003eAlways Remember 168\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 12 Options and the Stock Market 171\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eWhat is an Option? 171\u003c\/p\u003e \u003cp\u003eThe Business of Options 172\u003c\/p\u003e \u003cp\u003eOptions Share Many Similarities with Common Stocks 173\u003c\/p\u003e \u003cp\u003eHistory of Options 174\u003c\/p\u003e \u003cp\u003eFunction of Options 175\u003c\/p\u003e \u003cp\u003eFactors Affecting Option Valuation 176\u003c\/p\u003e \u003cp\u003eThe Option Premium 179\u003c\/p\u003e \u003cp\u003eThe Option Strategy 180\u003c\/p\u003e \u003cp\u003eSome Questions and Answers 181\u003c\/p\u003e \u003cp\u003eGetting Started 182\u003c\/p\u003e \u003cp\u003eWhy Sellers Sell Calls: Some Strategies 183\u003c\/p\u003e \u003cp\u003eOption Exercise 186\u003c\/p\u003e \u003cp\u003eOption Fundamentals 187\u003c\/p\u003e \u003cp\u003eUsing Options and Margin 191\u003c\/p\u003e \u003cp\u003eWhat is Margin? 192\u003c\/p\u003e \u003cp\u003eAvoid the Premium Trap 192\u003c\/p\u003e \u003cp\u003ePut-Call Ratios 193\u003c\/p\u003e \u003cp\u003eOption Quotes 194\u003c\/p\u003e \u003cp\u003eSelling Options: Prudent Investing Method 194\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 13 Options and Potential Returns 197\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eNaked Option Writing 198\u003c\/p\u003e \u003cp\u003eStarting a Covered Call Program 198\u003c\/p\u003e \u003cp\u003eThe Pricing of Options 199\u003c\/p\u003e \u003cp\u003eDetermining the Best Time Value 202\u003c\/p\u003e \u003cp\u003eDetermining the Best Strike Price 203\u003c\/p\u003e \u003cp\u003eDetermining the Best Underlying Stock 205\u003c\/p\u003e \u003cp\u003eWhen to Take Action 206\u003c\/p\u003e \u003cp\u003eUnderstanding Published Option Premiums 207\u003c\/p\u003e \u003cp\u003eOption Symbols 209\u003c\/p\u003e \u003cp\u003eThe Standard Method of Using Options 211\u003c\/p\u003e \u003cp\u003eMy Method of Using Options 211\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 14 Margin: The Credit You Can Use 215\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAdvantages of Margin 217\u003c\/p\u003e \u003cp\u003eThe Margin Account and Buying Power 218\u003c\/p\u003e \u003cp\u003eMargin Account Maintenance 219\u003c\/p\u003e \u003cp\u003eMargin Interest 220\u003c\/p\u003e \u003cp\u003eImportant Margin Principles 222\u003c\/p\u003e \u003cp\u003eOpening a Margin Account 222\u003c\/p\u003e \u003cp\u003eBasic Ideas and Terminology 222\u003c\/p\u003e \u003cp\u003ePortfolio Valuation 223\u003c\/p\u003e \u003cp\u003ePortfolio Financials 223\u003c\/p\u003e \u003cp\u003eMargin or Maintenance Call 224\u003c\/p\u003e \u003cp\u003eConverting Dividends into Capital Gains 224\u003c\/p\u003e \u003cp\u003eUsing Margin for Personal Purchases 224\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 15 Managing an Option Income Portfolio 227\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eThe Writing Possibilities 231\u003c\/p\u003e \u003cp\u003eOption Selection for Option Writing 233\u003c\/p\u003e \u003cp\u003eSelling Time Value 234\u003c\/p\u003e \u003cp\u003eSelling a Covered Call Option 235\u003c\/p\u003e \u003cp\u003eStockbrokerage Commissions 237\u003c\/p\u003e \u003cp\u003eBuy and Write Strategy (Buy-Write) 237\u003c\/p\u003e \u003cp\u003eFormula for Stock and Option Selection 239\u003c\/p\u003e \u003cp\u003eThe Option Buyer 240\u003c\/p\u003e \u003cp\u003eProof That an Option Income Portfolio is a Winner 240\u003c\/p\u003e \u003cp\u003eFollow-Up Action 241\u003c\/p\u003e \u003cp\u003ePeriodical Review of Portfolio Equity Holdings 242\u003c\/p\u003e \u003cp\u003eOption Income Portfolio Review 245\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 16 Option Income Portfolio as a Tax Shelter 247\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eInvestment Definitions 247\u003c\/p\u003e \u003cp\u003eThe Option Income Portfolio and Taxes 249\u003c\/p\u003e \u003cp\u003eOption Contract Closing Transaction 250\u003c\/p\u003e \u003cp\u003eTax Deferral 250\u003c\/p\u003e \u003cp\u003eTax Gains or Losses 251\u003c\/p\u003e \u003cp\u003eCapital Loss or Gain Bank 252\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 17 Options: Standard Operating Procedures 255\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eRule of Thumb 256\u003c\/p\u003e \u003cp\u003eNo Time = No Time Value 256\u003c\/p\u003e \u003cp\u003eStock Price Goes Down 258\u003c\/p\u003e \u003cp\u003eStock Price Stays the Same 258\u003c\/p\u003e \u003cp\u003eStock Price Goes Up 259\u003c\/p\u003e \u003cp\u003eSelling and Buying Back Calls: One Stock for One Year 262\u003c\/p\u003e \u003cp\u003eOption Income Portfolio Procedure 263\u003c\/p\u003e \u003cp\u003eSo Why Aren’t You Selling Options? 267\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 18 LEAPS 269\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eLEAPS Options for a Longer Term 270\u003c\/p\u003e \u003cp\u003eLEAPS Pricing 271\u003c\/p\u003e \u003cp\u003eLEAPS Symbols 273\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 19 Conclusions 279\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eFear, Greed, Hope, and One’s Self 280\u003c\/p\u003e \u003cp\u003eTraits of the Winner 281\u003c\/p\u003e \u003cp\u003eTraits of the Loser 281\u003c\/p\u003e \u003cp\u003eThe Surprising New Shape of the Economy 282\u003c\/p\u003e \u003cp\u003eMadness of Crowds Returns 284\u003c\/p\u003e \u003cp\u003eThe Good News 286\u003c\/p\u003e \u003cp\u003eRemember Time Plus Money for Successful Investing 287\u003c\/p\u003e \u003cp\u003e\u003cb\u003eAppendix Investing in Citigroup through the Years 289\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eCiticorp: A Financial History 289\u003c\/p\u003e \u003cp\u003eContrarian Investment Club History 291\u003c\/p\u003e \u003cp\u003e\u003cb\u003eResources 295\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eInvesting Books 295\u003c\/p\u003e \u003cp\u003eOption Books 297\u003c\/p\u003e \u003cp\u003eInformation Links 298\u003c\/p\u003e \u003cp\u003eAbout the Author 301\u003c\/p\u003e \u003cp\u003eIndex 303\u003c\/p\u003e  \u003cp\u003e\u003cb\u003eHARVEY C. FRIEDENTAG\u003c\/b\u003e is an investment adviser and money manager. He is certified as a Federal Court expert witness on stock trading, options, and other derivatives. Specializing in covered call writing, Friedentag has been managing money since 1986 and has consistently generated annual returns of more than 15%. He is also the author of the book \u003ci\u003eInvesting without Fear\u003c\/i\u003e, which has been called, \"a gem of a book for serious option writers.\" Friedentag serves as President of the Contrarian Investment Club in Denver, Colorado.   \u003c\/p\u003e\u003cp\u003eThe proliferation of brokers, salespeople, and other investment \"professionals\" has given some people a false sense of security and distracted them from developing an adequate understanding of the investment discipline. And while a growing number of investors are beginning to take back control of their portfolios, without the proper approach, they're leaving the opportunity for profit purely up to luck and chance.  \u003c\/p\u003e\u003cp\u003eNobody understands this better than author Harvey Friedentag, a registered investment adviser who has been successfully using one of the most rewarding forms of investing in existence—the covered call option—for more than thirty-six years. Now, with \u003ci\u003eThe Stock Option Income Generator\u003c\/i\u003e, he outlines this low-risk approach to making predictable profits regardless of the state of the overall market.  \u003c\/p\u003e\u003cp\u003eWritten in a straightforward and accessible style, this reliable resource will open your eyes to one of today's most effective investment methods—showing you how the process of picking stocks and then selling call options against them can help generate a constant stream of income. Along the way, you'll learn how to: \u003c\/p\u003e\u003cul\u003e \u003cli\u003eMake consistent profits in the stock market and increase your gains\u003c\/li\u003e \u003cli\u003eProtect stock holdings from price declines, cutting your losses\u003c\/li\u003e \u003cli\u003eProfit from big market moves as well as sideways moves\u003c\/li\u003e \u003cli\u003eReceive a controllable tax shelter from an option income portfolio\u003c\/li\u003e \u003cli\u003eBuy more stocks for less money\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eWhile the book opens with coverage of some fundamental issues—including the basics of investing—it quickly moves on to address the essential aspects of Friedentag's proven strategy and touches upon the forces that could affect its performance.  \u003c\/p\u003e\u003cp\u003eThe stock market has been full of bear markets—not to mention recessions—before, and despite these events, a portfolio of stocks with covered option calls has turned out to be a lot more valuable over the long term than a portfolio of bonds, CDs, or money market funds. If you're determined to make the leap from a serious investor to a successful one, you don't have to learn the tricks of the trade; you have to learn the trade. \u003ci\u003eThe Stock Option Income Generator\u003c\/i\u003e can help you achieve this goal and put you in a better position to generate better overall market returns, without excessive risk.\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47990347071717,"sku":"NP9780470481608","price":60.0,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9780470481608.jpg?v=1761787452","url":"https:\/\/k12savings.com\/es\/products\/the-stock-option-income-generator-isbn-9780470481608","provider":"K12savings","version":"1.0","type":"link"}