Hey everyone, here is the press release for the launch of the DCL Capital Option Income Portfolio. People always ask me where they can find a manager to manage money how I write about in my book. Now you can!
I’ll write about budgeting for big items later in the week so stay tuned,
Dave
Higgins Investment Group Launches the DCL Capital Option Income Portfolio
-DCL Capital Option Income is one of the first actively managed portfolio focusing on selling options to increase yield.-
Toronto, Canada (January 9, 2011) – David Campbell Lester, president of DCL Capital and author of the best selling personal finance book I Heart Money, has licensed Higgins Investment Group to use his dividend stocks plus option income investing strategy from his book. The DCL Capital Option Income is one of the first ACTIVELY managed portfolio that focuses on selling options to increase yield.
Lester’s strategy is best described by using stocks as a rental property. The best companies are big blue chip companies that have been around for 100 years and he expects them to be around for the next 100 years. He understands the business, and recognizes there is a need and more importantly growth in the business. The dividend that he collects from the stocks is his first rent. “I can write Puts on the position to create an additional stream of income and write Calls on the entire portfolio for a third stream,” says Lester.
“I first described my strategy in my book I Heart Money. The entire book focuses on teaching people how to have a healthy relationship with their money by giving them tangible and easy to understand tips that work,” said Lester. “These tips include investment portfolio strategies, like this one. With volatility being so high, the options premiums are currently extremely high providing many opportunities that can be leveraged with the right strategy. In my own portfolio I can generate more income from the option premiums than I get with stock appreciation or dividend payments. The stocks are there for me to trade around and with the collected premiums, I buy more stocks. The stocks appreciating in price is gravy on the entire strategy for me.”
Higgins Investment Group is now licensing Lester’s strategy of buying big blue chip dividend stocks and then selling “Call and Put options” around the portfolio to gain extra income. When the stock market goes sideways or down like Lester predicts it will for the foreseeable future – this is a great strategy. Only now are exchange traded funds (ETF) companies coming out with this kind of product and Lester’s is more effective for the following reasons:
A) It will be actively managed as opposed to ETFs that follow a set index. Mr. Higgins will cherry pick the best companies with the best dividends with the best option premiums.
B) The Portfolio not only sell Calls but sells Puts to open the position. The current ETFs on the market only sell Calls on their positions.
C) ETFs only do what the market does. They simply follow an index or sector. In the Portfolio, Higgins will use the Lester strategy and set it up to beat all the indexes.
Gordon Higgins was Vice-President, Canadian Equities of Elliott & Page/Manulife Insurance created and managed the E & P Monthly High Income Fund from inception to 2001. Mr. Higgins managed closed-end funds with a covered call strategy from 2004 to 2009. Currently, Mr. Higgins is the President of Higgins Investment Group Inc. “David’s strategy fits with HIGI’s core business of tailored portfolios focused on the combination of cash flow and wealth preservation. As David’s book describes, there are advantages to collecting dividends and option premiums while owning quality stocks. Everyone wants to get paid to wait for the stocks to rise; his strategy allows the investor to get the opportunity for enhanced income.”
About Gordon Higgins B.Comm, C.A., M.B.A, C.F.A, DMS: Mr. Higgins was the Vice-President, Equities of mutual fund and closed end fund manager Sentry Select. Mr. Higgins was Vice-President, North American Equities at Howson Tattersall/Lancet Asset Management and, prior to that, was Vice-President, Canadian Equities of Elliott & Page/Manulife Insurance. He graduated from the University of Toronto with a Bachelor of Commerce degree and received his Masters in Business Administration from York University, Schulich school of business. Mr. Higgins holds both the Chartered Accountant and Chartered Financial Analyst designations. He is now President of Higgins Investment Group.
About David Campbell Lester: Author and President of DCL Capital David Campbell Lester recently launched the United States version of his successful Canadian book I (Heart) Money. After seeing the tremendous response and countless success stories about lives being transformed as a result, Lester has decided it’s time to reach a broader audience. David’s fusion of humor, positive reinforcement, and tangible tips that work, make managing your finances something you love.
He is now a personal finance writer and President of DCL Capital. Lester writes for his blog iheartmoney.ca that breaks with traditional attitudes towards finance and describes his own philosophy towards money and life that he has gained through his personal and professional experiences. His philosophy on money applies to many areas of everyday life including: banking, investing, goal setting, shopping, and entertainment. David is a repeat guest as a Financial Relationship Expert on FOX and CW6 San Diego as well at CTV in Canada.
Visit dclcapital.com for more info.
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