Post #5562 by Said on the Berkshire Hathaway board

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A) ❤

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Gator: I always expect that BRK can rally 10% at any time.

Therefore your
I chose to sell options at much higher strike prices.
Understood (I hope).

What I don't understand:
$410 - 500. June 2024 - Jan 2025. I did several today.

Let's look at the middle, $450. Jan'25 pays $5, around 1.3%. With a high probability to buy them back much cheaper at some point during the next months and to pocket most of those 1.3% that makes sense.

But Jun'24 pays just $0.5 or so. I don't understand what's the point in selling those for - nearly - nothing?

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