Capture Dividends with a Risk-Aware Plan
Dividend capture requires more than buying a stock before the ex-dividend date. This course explains dividend entitlement, price adjustments and the interaction between stock, option and dividend returns.
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Combine Dividends with Options
Work through IBM examples to understand covered calls, protective puts and synthetic long positions, including exercise decisions around dividend dates.
- Understand ex-dividend, record and payment dates.
- Analyze stock and option profit-and-loss together.
- Combine covered calls with dividend income.
- Use protective puts to define downside risk.
Extend the Strategy and Protect the Portfolio
Apply call spreads, diagonals and short straddles, then connect dividend capture to trade sizing, beta-weighting, diversification and protection from extreme market events.
- Create synthetic long exposure efficiently.
- Evaluate call spreads and diagonal spreads.
- Control trade size and maintain capital reserves.
- Build a diversified options portfolio.
