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Selling Covered Calls on SPY in a Roth IRA | Index Investing with Options


Should you sell options against your S&P 500 index fund shares? In this video, I explain why I transferred assets from my Roth IRA at Vanguard to tastyworks. I'm going to buy 100 shares of SPY and sell covered calls against the position in the new brokerage. I'll use the profits from selling covered calls to buy more shares of Vanguard Total Stock Market Index Fund (VTI) inside my tastyworks Roth IRA. This is index investing with options. Yes, I'm mixing passive index investing with active options trading. Let's find out if this strategy will outperform the index over time. --- Timeline 0:00 Intro 1:19 Why tastyworks? 2:11 Then what? 2:23 Why buy SPY 2:54 What is this magical strategy? 4:03 What about dividends? 4:33 Where will covered call profits go? 4:56 Still an index investor? 5:48 What about Vanguard? 7:45 Will you let us know how it goes? 8:08 Did you invent this strategy? 8:40 Why do this in a Roth IRA? 9:01 Final thoughts? 9:43 Blooper ---- — Try Personal Capital to track your expenses and net worth. We’ll both get $20 if you use my referral link: — Try out Rakuten using my referral link. If you join and spend $20, we'll both get $20: — Get $5 when you make a purchase within 30 days of signing up for a Raise account. Use my referral link: — Square's Cash App is awesome. Try Cash App using my referral link, and you’ll get $5 when you send $5! — I trade options at tastyworks and you can too! 🍒 Use my referral link: ...(read more)



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