### Comment:
The main problem is that if the price moves against you, you have to tie up more and more buying power even if it never makes it to the strike price. That 12 percent is best case scenario. Not good enough.

### REPLY:
Yeah, it is a problem. Looking at today's ATM put, it reduces buying power by 937. That turns the yield into 6.28%., which is not awful. At that point I would just make a judgement call whether to hold or exit the position.

### END.