This is your Green Grosser, helping you gross green today. Now we are discussing creating income using covered call writing as a strategy.  This allows you to sell an option on a stock that is already in your portfolio, therefore it’s covered. The cash you receive, the premium, goes into your account the next business day. The contract or holding period, 3, 6, or 9 months, expires on the third Friday of the month. The risks are you must hold the stock even if it goes down unless you buy back the option and sell the stock. Another risk is the stock will appreciate way above the strike price resulting in the loss of all the potential profit you could have had. This program could add 1 or 2 percent to your portfolio yield and is a professional strategy requiring option papers to be signed. It is never advisable to sell options on stocks you do not have in your portfolio. This is known as naked or uncovered call writing. And he who sells what isn’t his will one day wind up going to prison. From, this is your Green Grosser with your tip to help you gross green today.