A covered call strategy involves selling a call option against a long stock position to generate premium income. This video explains how the strategy works, when it's appropriate, and how to break down its risk/reward profile for exam scenarios.

You’ll learn:

• How covered calls are constructed and why investors use them

• Maximum gain, breakeven point, and risk exposure

• The ideal market outlook for using this income strategy

• How to distinguish covered calls from similar strategies on the exam

• How to solve typical questions involving option writing and suitability

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate
📈 Topics Covered: Options income strategies, covered calls, risk/reward, suitability, options math