AAII St. Louis Chapter Meeting: Steve Harris

Presentation description:
Moving beyond the basics, Options 102 offers an in-depth exploration of the U.S. options market designed for investors looking to sharpen their technical edge. Led by Steve, this session bridges the gap between understanding what an option is and knowing how to trade it effectively. We will trace the evolution of the U.S. options market, deconstruct the mechanics of option pricing, specifically the interplay between strike prices and time value, and examine the strategic considerations necessary for consistent execution. The presentation concludes with a practical look at modern income-generating vehicles, analyzing how popular ETFs utilize covered call strategies to enhance portfolio yield.

What you will learn:
•    A historical perspective on the U.S. stock options framework and how it has shaped today’s trading rules.
•    How to distinguish between intrinsic value and time value, and how time decay affects your bottom line.
•    Key considerations for selecting specific strategies based on market outlook and risk tolerance.
•    A deep dive into ETFs that sell call options, exploring how these "covered-call" funds operate in different market environments.

Reasons to attend:
•    Steve will move past theory by walking through actual trading examples to show how these concepts play out in a portfolio.
•    Gain a firm grasp of the specific trading rules and characteristics unique to the U.S. options market to avoid common execution errors.
•    Learn how to evaluate yield-focused ETFs that use options against their holdings, helping you determine if they fit your income needs.
•    Connect with fellow chapter members to discuss strategy considerations in a collaborative, educational environment.