LEAPS strategies
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The biggest problem with LEAPs is that trading them is very difficult due to their wide spreads. I know some that use LEAPs to write calls on underlying. For example, you go long 10 LEAP calls, and then each month you write 5 front-month calls to help pay for the LEAP premium, eventually you'll have a free position in the LEAPs.
Leaps are basically leveraged stock.
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Searching;
Keep searching ;
leaps dont pay dividends
& you pay
for decay.
Searching i do most of my searching with calls in bull market 7 months & less;
buy & sell plan beats the idea one may ''leap'' over decay.
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At first i didnt trust that licenesed broker;
after years & years of doing business with him, i proved he was helpful to all parties involved in real estate.
James B. Bittman had a helpful , free article in
sfomag.com
on index LEAPS, where slow decay & bid/ask didnt matter much.
Stocks Futures & Options magazine is like that multiyear proven broker;
however still probably wouldnt keep 2 year LEAP s
2 years.
