Meanwhile, it's not all vacation here in Canada as I'm looking into investments. I was very impressed with CM, who pay a 4.5% dividend and drop incredible amounts to the bottom line (for a bank). They are very much a consumer bank, so the risk is low consumer spending but that's a good balance to our negative positions on XRT, etc. At just $29Bn, their forward p/e is about 8 and they are certainly too big to fail in Canada.
So let's add 300 shares to the LTP at $74.58 and promise to buy 300 more at $75 by selling the Sept $75 puts for $4.50 and the Sept $75 calls for $3.20 for net $66.88/70.94, not much of a discount if we end up owning 600 but I think they are firmly on a path to recovery.
