What is Covered Call?
Covered Call — An options strategy of selling a call option against shares you already own, to earn premium income.
In simple terms
A covered call earns premium but caps your upside above the strike.
Why Covered Call matters when you invest
Understanding covered call helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Covered Call — frequently asked questions
What is Covered Call?
An options strategy of selling a call option against shares you already own, to earn premium income.
What does Covered Call mean in the stock market?
An options strategy of selling a call option against shares you already own, to earn premium income. A covered call earns premium but caps your upside above the strike.
Can you give an example of Covered Call?
A covered call earns premium but caps your upside above the strike.
Put it into practice — open a free account.
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