“Do you know the only thing that gives me pleasure? It’s to see my dividends coming in.”
--John D. Rockefeller, Philanthropist and Industrialist.
Cash moves constantly. It’s either moving toward me or away from me like the moon moves the oceans. And like the tides coming in, my efforts in life are to have cash moving toward me rather than away from me. When I buy a stock cash moves out of my account and when I sell that stock cash moves back into my account. If I’m trading for capital gains I send cash out of my account to buy stock with the intent of selling the stock later at a higher price and have more cash flow back into my account. If I buy a stock for dividends I’m expecting a steady stream of payments deposited back into my account on a regular basis. When I sell options cash comes into my account and I don’t expect to send cash back out to buy them at all. Selling puts money into my account, buying takes money out. Selling is better.