Pick Great Stocks and Use Different Vehicles - Proffe Invest

Pick Great Stocks and Use Different Vehicles

By: February 13, 2025

What I’ve noticed in the US markets is many individual investors tend to follow the lead of professional options traders when using these derivatives.

There’s a different way to do it that makes using them less complex, less time-consuming, and less risky, and over the decades, I’ve continually improved how to do it.

First, you may wonder why you would go to the trouble of using options when stocks are performing well. The answer: Compare the graph below to the graph from the previous page.

The options are performing nearly an order of magnitude better.

And one more thing: The MegaTrend stocks in the stock portfolio are largely the same companies I use for the options portfolio.

That may seem odd, but to me what’s odd is how US investors tend to have a great portfolio of long-term growth stocks, but think they need to add smaller, riskier stocks for their higher performance portfolio.

What I do instead is simply switch the investment vehicle for my well-vetted, supercharged MegaTrend stocks.

My logic is simple. I know these stocks work, so why look for lesser stocks when I can just change how I use them. That way I get the best of both worlds, as you can see from the chart below.

What kind of options do I use?

That’s the best part of this system. I use at-the-money or in-the-money long-term call options, usually with expirations 18-24 months out.

Why? Because it cuts down on price volatility and time erosion.

Since I know these companies are certainly going to grow in the next year or more, I’m pretty sure the options will be profitable, and those profits will be leveraged.

Now Is the Ideal Time to Start

If you’re intrigued, there are two ways to get started, and this is a great time to get started. The major shifts happening in the financial markets and in Washington right now are making my style of options very profitable.

If you’re new to options and want to get started in a mixed portfolio of stocks and options, consider Proffe’s Trend Portfolio 2.0.

If you want to buy into a dedicated, faster moving options service, then my new service, Proffe’s Options Trader, is for you. It only trades easy, liquid, accessible options. CLICK HERE to learn more!


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