We all know that trading stocks involves stress and risk. At the same time it can also be highly profitable. Trading can give the most return on investments as compared to other investment strategies including real estate. For example, savings, money market accounts or CDs may give a return of 2 to 5% at best. You may expect a 10% rate through mutual funds. However, under the current economic conditions, such a yield may be hard to come by even with a long term investment.  Also, you do not have control over your investments and you can not be sure if your financial consultant either. What then is a low risk and more profitable alternative?

The purpose of this article is to illustrate one such low risk, high profit trading strategy, which combines stocks and options.

The Stock Market is a dynamic place where investors can consistently make reasonable returns on their capital if they comply with the basic principles of the endeavor AND if they don't measure their progress too frequently with irrelevant measuring devices. Five simple concepts of Asset Allocation, Investment Strategy, and Psychology are summed up quite nicely in the "The Investor's Creed".

Covered Calls are a means of generating income from your investments on a monthly basis without having to sell your stocks. 

Don’t let Wall Street fool you out of you hard earned money!