The document is a terms of use and disclaimer for an options trading seminar presented by Laurie Itkin. It states that Laurie Itkin and The Options Lady will not be responsible for any trading losses incurred. It also notes that options trading carries risk and past performance is not indicative of future results. The disclaimer concludes by stating any opinions expressed by Laurie Itkin are not intended as inducement to make particular investments.

1. TM
Lunch & Learn w/Options
February 15, 2013
Laurie Itkin
The Options Lady TM
theoptionslady.com

2. TERMS OF USE, DISCLAIMER, ASSUMPTION
OF RISK, & WAIVER OF LIABILITY
The Options Lady will not be held responsible for any trading losses you incur using the products or services
associated with The Options Lady, including its website, this seminar, and all mentoring services. Trade at your own
risk and only trade with capital you can afford to lose. You can lose money trading options and equities. Options
trading has large potential rewards but also large potential risk. You must be aware of the risks and be willing to
accept them in order to invest in the options markets. This seminar is neither a solicitation nor an offer to buy or sell
equities or options. No representation is being made that any account will or is likely to achieve profits or losses
similar to those discussed in this webinar. The past performance of any trading system or methodology is not
necessarily indicative of future results.
Disclaimer
Any opinion expressed by Laurie Itkin in today’s seminar or products or services offered on The Options Lady
website are not an inducement to make a particular investment or follow a particular strategy, but only as an
expression of Laurie Itkin’s opinion. Past performance is not indicative of future results. The Options Lady does not
guarantee any specific outcome or profit.
Assumption of Risk
Covered call investing carries an inherent risk that some or all of an investment can be lost. There is no guarantee
that using methods outlined by Laurie Itkin or The Options Lady will generate any profit whatsoever.
LIMITATION OF LIABILITY
This seminar is intended only to assist you in your financial organization and decision-making. Your personal
financial situation is unique. Accordingly, before making any final decisions or implementing any financial strategy,
you should consider obtaining additional information and advice from your accountant, tax advisor or other financial
advisors who are fully aware of your individual circumstances.
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3. My Path to Options Trading
• Undergraduate finance degree from Wharton School of
University of Pennsylvania
• Summer internship on the Chicago Board Options
Exchange
• Bought first stock at age 24
• 20-Year career in public policy and lobbying
• Matured from “buy and hold” stock investor to options
trader
• The Options Lady (coaching)
• Series 65 investment advisor license
• Coastwise Capital Group (money management)
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4. BUT AREN’T OPTIONS RISKY?
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5. Can’t Live Off Interest Anymore
Average Rate Average Yield
CD/Money Market/Savings 10-Year Bonds
Less than or close to 1% Corporate Bonds: 2 - 6%
Municipal Bonds: 2.5 – 5%
(tax-exempt)
What will happen to price
of bonds when interest
rates begin to rise?
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6. Stock Market Performance
Past Ten Years
The
Lost
Decade?
S&P 500 fell 38% in 2008
Where was your What happened
financial advisor? to your nest egg?
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7. Stock Market is Volatile
But Holds Growth Potential
CRASH
2012 13.41% theoptionslady.com

8. Mutual Funds vs. Exchange Traded Funds
Mutual Funds Exchange Traded Funds (ETFs)
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9. Consider Covered Calls
WHAT WHY
• 100 shares of stock or ETF • More conservative than just
combined with the sale of one “buying & holding stock”
call option • Ability to generate monthly
income to spend or compound
• Can enter from a cash position • Creates a monthly “dividend”
or by selling calls on stock you • Make money when underlying
already own stock is going up, stays flats,
or even declines a bit
• Limits risk in case stock price
falls
• Can be used in cash, margin or
IRA accounts
• The downside? A cap on stock
appreciation
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10. Monthly Income from Real Estate
Real Estate Investment
1) Buy a house and make money if it goes up in value
2) Rent out a house for income and make money if it goes up, stays
flat, or decreases slightly
Assume the Home is Worth $1M
What if someone offers to pay you $100K for the right to buy your
home any time over the next 12 months for $1.2M?
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11. Monthly Income from Stock
Equity Investment
1) Buy a “growth”/non-dividend paying stock and make money if it
goes up in value; or
2) Buy a dividend-paying stock for income and make money if it goes
up, stays flat, or decreases slightly
Assume the Stock is Worth $10K
What if you could receive $1K in exchange for the obligation to sell
your stock anytime over the next 12 months for $12K?
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12. Return Scenarios
Real Estate Investment Equity Investment
You are offered $100K for obligation to You are offered $1K for obligation to sell
sell your $1M home anytime over the your $10K worth of stock anytime over
next 12 months for $1.2M. the next 12 months for $12K.
1.Value of house stays flat. You keep 1.Value of stock stays flat. You keep $1K
$100K premium and still own home premium and still own stock worth
worth $1M for 10% annual gain. $10K for 10% annual gain.
2.Value of house falls to $900K or less. 2.Value of stock falls to $9K or less. You
You keep $100K premium and still own keep $1K premium and still own stock.
your home. You either break even or You either break even or lose less
lose less money than had you not made money than had you not entered into
agreement. covered call.
3.Value of house increases beyond $1.2M 3.Value of stock increases beyond $12K
and renter purchases home for $1.2M. and call option buyer exercises his right
You make 30% annual gain (20% on to purchase stock for $12K. You made
house + 10% on income premium). 30% annual gain (20% on stock + 10%
on income premium).
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13. Made Money in Three Weeks
Even Though Stock Stayed Flat
Bought 300 MDCO @ 29.86 Sold 300 MDCO @ 29.98
Sold 3 MDCO Feb 29.0 Call @1.74 Bought 3 MDCO Feb 16 29.0 Call @1.18
Profit after fees/commissions = $188 or 2% return in three weeks or 36% annualized return
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14. Automate Your Call Selection
With Born to Sell’s Trading Tool
Sign up for Free Trial at http://www.theoptionslady.com/Trading-Tool.html
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15. Sell Put Options for Income
Strategy Benefits
• Sell puts on a high • If stock stays above
quality stock you would strike price, you pocket
like to own at a discount the income which you
• You are selling can do month after
“insurance” to the month
holder of stock that • If stock gets “put” to you
bought puts for downside (which you then bought
protection at a discount), you can
sell calls to generate
income each month
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16. Salesforce (CRM)
Three Month Chart
Monthly Income for Jan Put Option
Dec 20 closing price - $168.91
$435
$276
$174
Monthly Return Annualized Return
if CRM > strike price
435/16,500 = 2.6% 31.6%
276/16,000 =1.7% 21%
174/15,500 = 1.2%theoptionslady.com 14%

17. Selling a Put on CRM
Using TD Ameritrade
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18. Investing with The Options Lady
Do-It-Yourself Full-Service
Open and fund TD Transfer funds to
Ameritrade Coastwise Capital
Trading Account Free Guru Group
Hours
Every Mon
12:30-2:30 Investment
Three-Month advisors trade
Coaching Package covered calls for
you
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