Options Trading Strategies in a Student Managed Investment Fund

Abstract

Student managed investment funds provide students the opportunity to manage a portfolio of real dollar investments and earn academic credit. Student managed funds typically benefit a University through improved course offerings within the field of finance where academic knowledge and practical experience are developed simultaneously. One area that has not been developed in the literature is the use of option trading strategies in a student managed fund. This paper seeks to fill that void by providing examples of how covered calls and protective puts can be evaluated and implemented in a student managed fund.

Keywords: Student Managed Investment Funds, Options

JEL Classification: A2, G00