Mention the term covered call investing strategy, and many investors picture limited upside potential, with the potential for making a small profit. These investors may also consider the real beneficiaries of the covered call investing strategy to be the sellers of the call options who benefit handsomely when the price of the stock increases significantly. A covered call is a stock options strategy wherein an investor sells a call option against an existing stock or against a stock purchased specifically for the covered call investing position. A covered call is similar to purchasing a house and leasing it out with an option to purchase. The person leasing-out the house receives a monthly income, however the person leasing-out the house may lose his income-generating vehicle if the person leasing the house decides to exercise the option for purchasing the house. Sign up now for PowerOptions 14-day free trial A profit and...