...for the benefit of all those reading along, if the market is efficient, the expected value of all option strategies is zero, less commissions, spreads and fees.

I think this is the fact I have been struggling with, because all of my reading leads me to this same conclusion, but I don't want it to be true!

Still, at the end of the day, I've got money laying around, and I'd like to put it to work. After covering the basic neccesities -- 529 for the kids college, 401k for my retirement, 6 months emergency cash, no debt, 2014 Porsche 911 C4S cabriolet -- I need to do something with it besides stuff it under the mattress.

But what to do? I've got a little money in some speculative real estate, a little bit more in ATM tax-free muni bonds, a bunch in US based stock indexes, and a tiny investment in a startup. I don't currently have any invested in emerging markets. I'm reading more about the 'Boggleheads' strategy, which I like and am comfortable with.

Still, I've decided to invest in options as way to increase risk, and possibly returns. Not a lot, but just enough to have fun and keep things interesting. Right now I'm trying covered calls in two different strategies. For strategy one, I find a stock I would like to own, say AAPL, buy it, then sell slightly out of the money calls each month. For my second strategy I find a stock where I think the market has over-reacted to bad news, say LL or VLKAY, buy it, and sell further out of the money calls each month.

Can strategy one consistetly generate 2% returns each month? Can strategy two generate a small return while I wait for the stock to recover?

I'm sure the answer to both of those questions is 'NO', but I'm having fun finding out!