MNV
Market News Video
MNV MNV 10 Bargains You Can Buy Cheaper Than Insiders Did
MNV
MNV
MNV
MNV
MNV
MNV
MNV
Free Dividend Report - Top Ranked Stocks

Featured MNV Articles:

Notable ETF Inflow Detected - SPIB
Wednesday, November 11, 12:37 PM ET, by Market News Video Staff

Symbols mentioned in this story: SPIB Exchange traded funds (ETFs) trade just like stocks, but ...

Noteworthy ETF Outflows: SPIB
Friday, December 18, 10:55 AM ET, by Market News Video Staff

Symbols mentioned in this story: SPIB Exchange traded funds (ETFs) trade just like stocks, but ...

Noteworthy ETF Inflows: SPIB
Monday, January 4, 11:24 AM ET, by Market News Video Staff

Symbols mentioned in this story: SPIB Exchange traded funds (ETFs) trade just like stocks, but ...

Noteworthy ETF Outflows: SPIB
Tuesday, January 12, 10:59 AM ET, by Market News Video Staff

Symbols mentioned in this story: SPIB Exchange traded funds (ETFs) trade just like stocks, but ...

Noteworthy ETF Outflows: SPIB
Thursday, February 4, 10:50 AM ET, by Market News Video Staff

Symbols mentioned in this story: SPIB Exchange traded funds (ETFs) trade just like stocks, but ...

First Week of July 16th Options Trading For SPDR Series Trust - SPDR Portfolio Intermediate Term Corporate Bond ETF (SPIB)

By Market News Video Staff, Friday, May 21, 10:43 AM ET
Play Video: The Importance of ETFs


If the video does not load after a few moments, Upgrade to the Latest Flash Player.
Email EnvelopeFree Email Alerts By Stock:
Get Dividend Alerts
Get SEC Filing Alerts

Investors in SPDR Series Trust - SPDR Portfolio Intermediate Term Corporate Bond ETF (NYSE:SPIB) saw new options begin trading this week, for the July 16th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the SPIB options chain for the new July 16th contracts and identified the following put contract of particular interest.

The put contract at the $36.00 strike price has a current bid of 5 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $36.00, but will also collect the premium, putting the cost basis of the shares at $35.95 (before broker commissions). To an investor already interested in purchasing shares of SPIB, that could represent an attractive alternative to paying $36.51/share today.

Because the $36.00 strike represents an approximate 1% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 87%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 0.14% return on the cash commitment, or 0.91% annualized — at Stock Options Channel we call this the YieldBoost.

Below is a chart showing the trailing twelve month trading history for SPDR Series Trust - SPDR Portfolio Intermediate Term Corporate Bond ETF, and highlighting in green where the $36.00 strike is located relative to that history:

The implied volatility in the put contract example above is 7%.

Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $36.51) to be 3%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.


This Article's Word Cloud:   Arial   Because   Below   Bond   Channel   Corporate   Intermediate   Investors   July   Options   Portfolio   SPDR   SPIB   Series   Stock   Term   Trust   YieldBoost   also   call   chart   contract   current   expire   fillColor   greeks   history   implied   investor   month   odds   options   premium   price   represent   shares   stock   strike   that   they   this   those   today   trading   trailing   twelve   volatility   will   worthless   would
MNV
MNV
About Us - Advertise - Contact Us - Embedding Videos - Licensing Videos - Partners - mRSS / RSS Feed - Terms of Use - Privacy Policy
MNV
Home  |  Analyst News  Dividend Report  ETFs  Insider Report  Large Caps  Market Movers  Week Ahead Report  Weekly Market Wrap
MNV
MNV MNV Stock Message Boards Stock Market Definitions
MNV

First Week of July 16th Options Trading For SPDR Series Trust - SPDR Portfolio Intermediate Term Corporate Bond ETF (SPIB) | Market News Video | Copyright © 2008 - 2021, All Rights Reserved

Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners. In no way should any content contained herein be interpreted to represent trading or investment advice. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.