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REDDIT

Volatility of positions for PMCC and CC writes. (For those that write calls >= 1 week)

K
Mar 31, 2026 · 00:37

Wondering how people like to approach picking underlying stocks for equity options . I run a combination of PMCC and CC positions.


Obviously a high beta stock can be down -12% in a month where the call premium is 6% in a rough market we are in now. it still outperforms a buy and hold investor due to down side protection.

And low beta stocks have weak premium but give the portfolio stability .

would you rather Use the volatile stock like CRWD or TSM for the leap to write against? or as covered shares?

How do you approach beta <=1? like VOO or V?