I came across a post about someone who has been wheeling the same REIT, O, for years and it got me thinking. He liked it because it pays monthly dividends and tends to recover pretty reliably if he gets assigned, so bag holding never feels too painful. The premium isn’t huge but it seems consistent, and the monthly contracts line up well with how he runs his wheel.
It made me wonder what everyone here would choose if you could only wheel one ticker for the long haul. I feel like the ideal candidate probably needs two things. It has to be something you wouldn’t mind owning for a while if assigned, and it also needs enough volatility to keep premiums worth selling.
So if you had to commit to a single ticker for your wheel, what would it be and why?
If you could only wheel one ticker…
byu/TheGreatGoryGamer inoptions
Posted by TheGreatGoryGamer
8 Comments
Snap. It’s currently my main and has been for well over 2 years
ONDS. yeah, it has its up and downs but so far it has only trended even more to the upside. I have some $14 and $15 CSPs expiring in the next few weeks, but even though i will be paying more than the current market value, I know at some.point in the next few months we will continue climbing higher
MARA is my go-to. Solid premiums and always recovers (eventually)
Spy or qqq probably
BRK/A
“Small dogs of the dow” …. Currently KO VZ PG NKE MRK.
Dogs of the Dow are the 10 highest yielding stocks in the Dow. Small dogs are the 5 lowest priced of those 10. Big, liquid, well known, well understood, predictable. Sometimes they blow up, but very rarely.
IBIT
It consistently offers strong premiums while still being liquid enough to get decent fills. It is basically a straightforward way to sell BTC volatility inside a normal brokerage account, and it aligns with my view that ongoing USD debasement supports scarce assets like bitcoin over time
The main thing you are getting paid for is gap risk since BTC trades 24/7 but the ETF and options do not, so position sizing and willingness to hold through drawdowns matter. I am comfortable holding the crypto exposure, so the wheel helps me get in and out while collecting premium without trying to time the market (tho in reality a little TA goes a long way)
IBIT, why, it’s backed by the hardest money there is.