Ep18 - Chewing the Fat About Meat and Tasty Chicken Feet

In this episode, Dan Passarelli dives deep into the strategy that many investors think they understand — but often get wrong: cash-secured puts. While most investors learn to sell puts early in their options journey, few truly master the nuance and mindset that separate solid trades from subtle mistakes.

Dan unpacks the six core guidelines for executing high-quality CSPs, shares his personal evolution from skeptic to strategist, and reveals how most investors fall into the “time bomb strategy” trap — and how to avoid it.

But that’s not all… He also takes us on a culinary detour through Icelandic puffin, Chinese chicken feet, and even donkey meat. It’s all part of the journey toward investing maturity — and yes, maybe building some collagen while we're at it.

Later, frequent guest and coach John Kmiecik joins the conversation to challenge common myths, like the "sweet spot" of the 30 delta put and why most investors choose strikes that are too conservative — even when they say they want to be assigned.

In This Episode:

• Why cash-secured puts aren’t as “simple” as they seem
• The six guidelines that will instantly improve your CSP trades
• Why objective is everything: Are you skating or trading?
• How investors sabotage themselves with backtesting myths
• The real risk of selling far OTM puts (it’s not what you think)
• How fundamentals like book value and tangible book value shape CSP decisions
• Why most new investors don’t really know if they want to be assigned
• A sneak peek into John’s technical approach for CSPs — coming in Episode 19

Key Insight:

“Cash-secured puts are the meat and potatoes of options trading — but to get the flavor right, you need more than just the recipe. You need the right mindset, the right tools, and the right objectives.”

Subscribe & Support:

Like what you’re hearing? Help grow the Wealth Building with Options community:

1. Share the show with investors who want more confidence and control in their strategy.
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3. Support the podcast by joining Dan’s Substack — get video extras, trade breakdowns, and exclusive AMA access.

Resources:

• Learn more about your host at MarketTaker.com
• Read: The Characteristics and Risks of Standardized Options PDF

Next Time:

Join us for Episode 19 where John returns to dig into technical analysis for cash-secured puts — and how it fits into a full-spectrum edge-based strategy.

 

Disclosure:

Options involve risk and are not suitable for all investors. Prior to buying or selling an option, investors must read Characteristics and Risks of Standardized Options (ODD) which can be found at https://www.theocc.com/company-information/documents-and-archives/options-disclosure-document

Don’t trade with money you are not prepared to lose. Anything discussed on this show is intended to be generalized information and not intended to be a recommendation to buy or sell any security. The host and guests are not familiar with listeners’ specific situations. For trading information relevant to your specific needs, speak with a licensed broker or advisor.  

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