L lizmerrill Oct 4, 2007 #1 if i sell a call, am I obligated with re to the dividends that are declared on the stock? Liz
G gkishot Oct 4, 2007 #2 You are obligated in indirect way since your calls are cheaper than if the stock didn't pay dividends. So your potential profits are smaller by this amount.
You are obligated in indirect way since your calls are cheaper than if the stock didn't pay dividends. So your potential profits are smaller by this amount.
