ARTICLE SYNOPSIS ...DERIVATIVES Covered Call Writing Here's a primer on writing options to boost return on investment. by Steven P. Schinke, Ph.D. Options derivatives for stocks and commodities come in two types: One is bought and sold in transactions between two parties directly, while the other is traded on exchanges. The first, over-the-counter (OTC) options, are often complex in their mechanisms and pricing, and so are negotiated between institutions with counterparty backing. Because of their singular properties, OTC options are usually not transferred. In contrast, exchange-traded options are priced in...