Happy Saturday!

It's time for another reader Q&A.

Each week, I answer all of the most interesting questions that land in my inbox.

As always, I can't provide personalized financial advice, but I'm happy to share my thoughts, research, and how I'm thinking about the market.

Let's get started.

Do index funds have to wait until SPCX gets included in the index before they start purchasing shares or are they quietly purchasing shares now that the stock has declined in price? – James

Passive index funds don't quietly accumulate shares before a company is officially added to an index.

Their mandate is to track the index. Not front-run it.

If the index owns SpaceX, they buy SpaceX. If it doesn't, they don't.

It's really that simple.

Also, it's important to note that SpaceX's inclusion in any major index isn't yet guaranteed.

Front-running an addition that ultimately doesn't happen would leave an index fund out of sync with its benchmark – the very thing it's designed to avoid.

In regards to your covered call strategy, how far out of the money are you selling calls on Uber Technologies (UBER)? – Walrus

My strike price has consistently been $80-$85 over the last few months.

Uber had a good rally this week. I’ll likely adjust to $85 next week which will likely pay me the $30-$40 I typically collect from UBER covered calls.

Now a question for you… how did you get the nickname Walrus?

Four questions regarding covered calls. 1. What do you do with the options premiums? 2. Why one week and not one month out? 3. Have you ever done this strategy with a spread say for instance buy the Redwire (RDW) Jan 2028 $10 calls and sell the $15 or $20 calls one week or one month out? 4. When you do get called away, do you just buy back in immediately? – James

1. Whatever I want! It’s my money to keep! I’ll invest it somewhere eventually.

2. I’m confident that on a one week time horizon, the vast majority of the time my shares won’t get called away. Longer time horizons introduce more uncertainty.

3. No. I won’t steer you away, however. It’s also important to note that I write to investors of all experience levels. Try explaining spreads in a way that's fun and easy to understand...

4. It depends on the price and the reason for the stock move. Typically I’ll wait for a pullback.

I just recently joined the Altucher community. Can you lay out your case for owning Fannie Mae (FNMA) in The Million Mission? – Daniel

Welcome! Here you go: Click here for details.

No one at Paradigm Press has mentioned Swarmer (SWMR). Curious as to why this doesn't seem to be on anyone's radar and what your thoughts are on it. – Cindy

This isn’t a stock on my radar.

I am due for a new edition of Smash/Trash/Stash, though.

Look for it there.

What do you think about selling puts in this market? – Michael

Hi, Michael. Again, not my style just because newsflow happens fast.

If I sell puts on a company that I like, and the price falls in-the-money, then I’m forced to buy shares.

But what caused the price to fall? Do I still like the stock then? Did the stock price blow through the strike price to the downside and now I’m deep in the red?

For these reasons I stay away.

An email from the daughter of the 95-Year-Old Investor.

I just signed up for your free newsletter with the link you shared with the 95-year-old investor—my dad. And I thought I would boast about him for a moment. He has been incredibly successful in his efforts, rebuilding retirement investments after, as he says, “being ripped off by advisors and funds whose interest is in making money for them, not for their client.” He is still as sharp as a tack despite the realities of age and years of cancer, still advising and caring for his family so we would learn how to care for our own families as we reach retirement ourselves.

I look forward to following and learning from your journey and I’m happy to see I’ve chosen some of the same stocks instead of SPCX as you have. – Suzanne

Welcome to The Million Mission, Suzanne! And thank you for sharing some added color regarding your father.

I received plenty of great feedback following his email to me two weeks ago. Here are a few:

Two things I draw from his example: I'm not as late a beginning stock trader as I have imagined; and this gentleman's example suggests that doing so might prove a fruitful exercise for one's mind. Grateful at 69! – Robert

Now that’s a man setting a true example! Still helping his children succeed even at 95! – Joseph

Still investing at 95-years-old! I’ll get there one day ;) – Sherry

Important Update: The Million Mission website is live!

I’ve gotten plenty of feedback regarding where to find previous alerts. Well, The Million Mission website is finally live and you can check out archived alerts here.

Another Important Update: Twitter Account… Suspended

I'm still confused by this.

The robots running X/Twitter suspended my account by mistake.

I know this because I received an email saying: "Oops... our mistake. Your account has been restored."

Except... it hasn't. I'm still suspended and can't post anything.

I'll keep you updated. But since I can't seem to reach an actual human being at X, this may take a while.

In the meantime, if you know anyone at X, send me an email at AskDavis@paradigmpressgroup.com.

Portfolio Overview

Here’s what I’m currently holding in The Million Mission portfolio:

Fannie Mae (FNMA) – 2,500 shares @ $7.25/share

Uber Technologies (UBER) – 200 shares @ $80/share

Nvidia (NVDA) – 200 shares @ $179/share