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An App to Help Option Traders – Covered Calls

Tired of tracking covered call option returns in spreadsheets or scribbles on paper?  Tiger Software Solutions recently released the Covered Calls App for the iPhone and iPad that enables users to track their portfolio of covered call option positions.  Returns are automatically calculated based on the stock price which is fetched when the refresh button is pressed.  The Settings can be tweaked to ignore commissions in all return calculations as well as customizing whether the App shows returns in actual percent or in Annualized percent.  The App also includes a Quick Analysis calculator that has input fields for option data, and returns are displayed immediately on the screen.

We spent a few days playing around with the Covered Calls App to understand some of the Pros and Cons of what it can bring to the individual investor.  Below was our assessment.

Pros

  • Nice feature that validates the stock symbol prior to adding it to the portfolio.
  • Quick and streamlined interface, makes the App intuitive and easy to use.
  • Percentage information is displayed in the Options Portfolio section making it extremely easy to understand where the call option stands.
  • Calculations are made for expired options and returns are displayed.
  • The expired and active options are separated in the portfolio section.
  • Stock quotes and percent return details refresh quickly.

Cons

  • Stock quotes do not automatically refresh.  The user is required to press the refresh button in order to get updated stock prices.
  • The option expiration date selector only allows selecting Saturday expiration dates.  Weekly options expire on Fridays, and Quarterly options may expired on other days.  The user should be able to select specific days for option expiration, instead of only restricting the user to monthly options.

We contacted Tiger Software Solutions to find out about the second Con item, regarding only allowing Saturday expiration dates.  They responded saying they have already implemented an enhancement to the App where users can select any date for an option expiration.  The enhancement will be released in Rev 1.1 of the Covered Calls App which is currently in review.

Overall the Covered Calls 1.0 App is a very useful App for the price.  At only $1.99, this App is a steal compared to other Financial and Stock/Option analysis Apps out there.  One covered call trade pays for much more than the App price, so this is a no brainer recommendation from Easy Investing Strategies.  If you are new to covered call option trading or are tired of manually tracking returns, we recommend downloading this App to help you track and understand the return potential of this option trading strategy.

Download in iTunes: Covered Calls

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