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Covered Calls (Half of Holdings on Margin) on Small Account

C
Aug 4, 2026 · 05:58

I recently bought 100 shares of four stocks: American Airlines (AAL), SoFi Technologies (SOFI), Albertsons (ACI), and Ford (F). I chose these stocks because I had a goal of selling covered calls and figured it'd be best to diversify into four sub-$20 stocks as opposed to one or two $25-30 stocks. About half of the portfolio's value is in my equity, and the other half-ish is in margin. I sell weekly covered calls that target \~1% per holding.

I should also mention that while I initially looked at these four companies because they had lower share prices and therefore allowed me to diversify more, I do believe in these companies and their business models. I have written analyses for each of these holdings, and I research company-specific and economic news daily while jotting down important events.

As someone who loves reading about financial markets but only recently started investing and selling covered calls, I'm interested in hearing what others think.