Dividends and Options

[ADLE]

Hi ALL,
Could you please recommend good book which covers dividends and options?
I was wondering if I can play dividend and covered calls just day before ex-dividend day?

Thank you

 

[MTE]

Any decent book which covers option pricing also does dividends. By the way, there's no free lunch in dividends.

 

[ADLE]

Quote from MTE:

Any decent book which covers option pricing also does dividends. By the way, there's no free lunch in dividends.

I am not looking for free lunch - I just want to understand how it works when you're dealing with options.

Thank you

 

[MTE]

Quote from ADLE:

I am not looking for free lunch - I just want to understand how it works when you're dealing with options.

Thank you

No worries, I thought I'd give you an advance notice as a lot of people look for free lunch when they ask similar questions.

You can also search for past discussions as this issue has been discussed numerous times here.

 

[hlpsg]

Quote from ADLE:

Hi ALL,
Could you please recommend good book which covers dividends and options?
I was wondering if I can play dividend and covered calls just day before ex-dividend day?

Thank you

Charle's Cottle's Options as a Strategic Investment covers it.

 

[MTE]

Quote from hlpsg:

Charle's Cottle's Options as a Strategic Investment covers it.

It's McMillan who wrote that book not Cottle!