20 11, 2020

Welcome to Collar Stocks!

By |2020-11-20T16:59:18+00:00November 20th, 2020|

Asked how he got so rich in the stock market, Baron Rothschild said, “I will tell you my secret if you wish.  I always sell too soon.”    Collaring a portfolio is a defensive, hedging strategy that investors may desire to employ every 4-6 years or so after the typical bull market has allowed their portfolio of stocks to attain the high price level they had hoped for. One might desire [...]

18 11, 2020

How to Collar

By |2020-11-20T16:59:21+00:00November 18th, 2020|

Below are articles outlining what the major investment firms suggest for their clients and how the partners use collars for their own portfolios.  I.     Stock-Hedging Lets Bankers Skirt Efforts to Overhaul Pay By Eric Dash; Griffin J. Palmer contributed reporting.  Published: New York Times, February 6, 2011 “……..many executives have found a way, by using complex investment transactions, to limit the downside on their holdings, or even profit, as other shareholders are [...]

11 11, 2020

Reasons to Collar

By |2020-11-20T16:59:25+00:00November 11th, 2020|

1  Is it time to take some profits on your appreciated stocks? Do need to explore the world of option collars to protect your gains? Is it time for another stock market correction? The Federal Reserve and Treasury Department have other ideas but history says one is eventually coming. All stock markets are cyclical.  They follow the business cycle, which, of course, is also cyclical. But government stimulus has prolonged  [...]