What is MBAFOLIO

The goal of mbafolio is to bring to readers diffrent investment strategies and what type of returns they are generating. Throught out my investment career I have come to the simple recognition that there are different investment stratgegies that can be adopted and it just does not make sense for investors to just stick to one stratagy. So what are some of the stratagies and the accompanying folios (Think of a Folio as the asset purchased or sold for a particular strategy). Strategies would be as following -

1) Buy Stock
2)Sell stock short
3)Buy calls
4)Sell Calls
5)Sell put
6)Buy put
7)Calendar Spreads
8)Iron Candor
9)Covered Calls
10)Mattress play

Well today is Tuesday 02/19/2008 - S&P and Dow futures were up over 12 and120 pts pre open respectively and the we opened with the dow up over 135pts.

Our MBAfolio stratgey this morning was to sell calls on selected issues that we though had been over priced during the early morning run -up. We sold SOLF March 17.50 calls at 2.10 during the morning. We also sold Eastman Kodak march 20 strike price calls at .75. We are looking for a 15% return to cover these calls,.

MBAfolio - Stratgey - ( Sell Calls)

SOLF ( Solarfun) march 17.50 strike Call - sold 10 contracts at 2.10

EK (Eastman Kodak) March 20 strike call - sold 10 contracts at .75


If you get the above trades in the (short call Mbafolio) cover for a 15% gain -

SOLF cover at 1.8 or below based on your risk tolorance

EK cover at .60 or below based on your risk tolorance.

Place stops at a 5% lost.

Happy investing and trading.