- The Option Premium
- Authors
- Andrew Crowder
What Is Beta Weighting? The Tool That Turns a Scattered Options Portfolio Into a Single, Readable Number
Beta weighting translates every position into SPY-equivalent deltas so you can see your total market exposure as a single number. The formula, a 7-position example, portfolio-level Greeks, and why premium sellers need this tool.
Calls and Puts: The Only Two Things You Need to Know First
Every options strategy ever built, from the simplest covered call to the most sophisticated multi-leg position, begins with one of exactly two instruments. Here is what each one is, how each one works, and why understanding both changes the way you see every trade.
Probability of Touch vs. Probability of Expiring ITM: Why Your Short Strike Gets Tested More Often Than You Think
Your platform shows 85% probability of profit. But there's a 30% chance the stock visits your short strike before expiration. Learn the 2:1 rule, how Prob Touch differs from Prob ITM and Prob OTM, and why closing at 50% eliminates remaining touch risk.
How to Build an Options Portfolio That Can Take a Hit
Five pillars that keep premium sellers in the game: position sizing at 2-5%, uncorrelated positions across 8-12 underlyings, a permanent 20-30% cash reserve, strategy diversification, and a written drawdown plan with pre-committed actions at every level.
The Capital Efficiency Hybrid: How LEAPS, Cash-Secured Puts, and Covered Calls Make Every Dollar Work
LEAPS control stock at 30% of the cost, freeing 65-75% of capital to sell cash-secured puts. When assigned, covered calls generate income on shares. A $50,000 hybrid portfolio runs 10+ income streams where a traditional portfolio runs 3.
The JPM Collar: What It Is, How It Works, and Why Every Options Trader Should Understand It
The JPMorgan Hedged Equity Fund runs a $21 billion put-spread collar on the SPX, resetting quarterly with ~45,000 contracts per leg. Learn the three-leg structure, the roll mechanics, and why it shapes pricing for every options trader.
Advanced Options Strategies: The Professional's Guide to Premium Selling, Credit Spreads, Iron Condors, and Earnings Plays
24 years of professional options trading in one comprehensive guide. The complete framework: why selling premium works, IV Rank and IV Percentile, the expected move formula, the 7-step process, credit spread and iron condor management rules, a real Visa earnings trade, and the 5 mistakes that destroy traders.
