The 'Yield As Loud As You EnCana' Trade

By Helix Investment Management:When most investors think of using options to hedge against declines in the market, they think of buying puts. And that is certainly a valid strategy. But we see benefits in using options in another way, a way that allows for investors who are bullish in the long run to hedge against short-term declines in the market, as well as lower the cost basis of their investments.

ByStock Bets: Oil prices are fighting their way up and oil and gas companies are attracting a lot of attention for that matter. On the other side, investors are hunting for the companies paying a high-dividend yield as they believe that these high-yield giants will pay them off well in the coming quarters. The capital return potential is sometimes ignored while making investment decision.

ByStock Picker:Natural Gas prices (UNG) have risen substantially in the past year, from a low of below $2 to over $4 now. Gas prices are expected to reach around $5 in the year 2013. This fact can positively affect the valuation of the companies that are operating within the oil and gas sector. The rising gas prices can result in a higher than expected valuation of these companies.

By The Dividend Guy:Encana (ECA) is a leader in North America for energy production related to natural gas, oil, and NGLs. Its activities are related to the exploration, development, and production of energy sources. ECA is operating in four divisions:

Scott's Investments submits:I regularly track a High Yield Dividend Champion portfolio. This month's update includes a purchase of MGE Energy (MGEE) and Sysco (SYY). Investors interested in generating income or hedging against a neutral can also use a variety of option strategies to enhance this, or any, portfolio.

By Bret Jensen:Dividend stocks have had a very nice run over the last three to four months. On the down side, it is now getting much harder to find good yield at reasonable valuations. One stock I do still like here for its valuation, dividend and long term growth prospects is EnCana (ECA). After Merrill's downgrade of the firm Thursday, it might be a good candidate to buy on the dip.

By Parsimony Investment Research:As investors process significant uncertainty associated with a weakening economy and polarized political environment we believe hiding out in long-term treasuries is unwarranted. At 2.0%, U.S. Treasuries provide limited nominal yields for investors seeking income.

Kurtis Hemmerling submits: Stocks expecting a massive change in price will see options premiums inflate in conjunction with implied volatility.