Put-Selling: Get Paid To Buy Stocks You Want

Forget everything you think you know about buying stocks.

If you’re like most investors, you probably research a stock then go to your brokerage account and buy it.

That’s fine… but there’s a better way. In fact, this method will give you cash to buy whatever stock you want at the price you choose – and at a hefty discount to its current price.

Yes, you read that right. The market will give you cash to buy stocks.

How to Make Money the Second You Buy a Stock

You use a strategy known as put-selling – selling put options against stocks you want to buy.

And in doing so, you pocket cash in your trading account – immediately – without even having to own the underlying stock.

When you execute this strategy, you’re obligating yourself to buy the stock you select for the “strike price” you’ve chosen at a specific point in the future.

For that obligation, option buyers will give you cash while you wait. So you’ll either make money, or own great stocks at bargain-basement prices.

And given that most option buyers lose on their trades while sellers make money, it’s a compelling reason to sell puts.

You just need to find a stock that boasts the following characteristics:

So let’s take tobacco firm Philip Morris International Inc. (PM) as an example – which certainly fits the bill as a well-established, blue-chip company.

Grab $425 Just for Making a Trade

With Philip Morris currently trading at about $90 per share, the first job is to decide on a price and time frame for the puts you’re going to sell.

This is precisely why you should always pick a stock that you’d be comfortable owning in case you’re obligated to buy the shares at options expiration.

With Philip Morris, you know you’d be buying a stable company that also has the bonus of paying a dividend ($4.08 per share annually).