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Premium Income

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Premium income
The income received by an investor who sells an option.

Premium Income
The money one makes from selling (or writing) an option contract. The term derives its name from the fact that the original sale price of an option is called the premium. One easy way to make money investing at little risk is to write covered options one does not expect to be exercised, and profiting from the premium income.

premium income
Fees in the form of premiums received by an investor who sells short a call option or put option. For example, an investor holding shares of BP can earn premium income by writing covered call options that give the buyer of the calls the right to purchase the option writer's BP shares at a fixed price until a stated date.


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On Tuesday, LIC Chairman T S Vijayan said during the current fiscal, the life insurance company is eyeing a premium income growth rate of 20 percent.
said Monday its unconsolidated net premium income fell 0.
said Monday its unconsolidated net premium income for the nine months to Dec.
 
 
 
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