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Another thing I studied financially was the Option Advisor. Their conservative approach is the only one attractive to me, and that just involves spreads. Value line covered this strategy in more detail, and the risk/reward ratio just doesn't justify the time and hassle. And it would only be used, as they recommend, for at most 1/5 of my liquid assets. So if it makes 100% like it did last year they claim, and it's taxed at 50% this gives after tax gain of only 1/5 * 1/2 * 100% or 10%. This is not so hot compared to stocks which need to make only 10/.8 (Long Term) or 12.5% to compete!

And option advisor doesn't say how much money it takes to be diversified, as value line does. It's quite a bit, like $20K for 10 to 20 options. Op Ad recommends only 3 per month!

And its too much hassle for only 20% of my liquid assets, or 10% of my total assets. And need $4000 margin, minimum.