text: Investors in Deutsche Bank AG (Symbol: DB) saw new options become available today, for the December 6th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the DB options chain for the new December 6th contracts and identified one put and one call contract of particular interest.
  The put contract at the $7.50 strike price has a current bid of 16 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $7.50, but will also collect the premium, putting the cost basis of the shares at $7.34 (before broker commissions). To an investor already interested in purchasing shares of DB,.13% return on the cash commitment, or 18.09% annualized — at Stock Options Channel we call this the YieldBoost.
  Below is a chart showing the trailing twelve month trading history for Deutsche Bank AG, and highlighting in green where the $7.50 strike is located relative to that history:
  Turning to the calls side of the option chain, the call contract at the $8.00 strike price has a current bid of 24 cents. If an investor was to purchase shares of DB stock at the current price level of $7.88/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $8.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 4.57% if the stock gets called away at the December 6th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if DB shares really soar, which is why looking at the trailing twelve month trading history for Deutsche Bank AG, as well as studying the business fundamentals becomes important. Below is a chart showing DB's trailing twelve month trading history, with the $8.00 strike highlighted in red:
  Considering the fact that the $8.05% boost of extra return to the investor, or 25.83% annualized, which we refer to as the YieldBoost.
  The implied volatility in the put contract example is 54%, while the implied volatility in the call contract example is 65%.
  Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $7.88) to be 39%..