# Premium collection

The premium is collected and distributed after the expiry date, if the option that was sold in the strategy expired worthless(or worth less than the premiums collected) <br>

> Yield is calculated as below;\
> \
> **Yield = Total Premium Collected - Intrinsic value of options.**\
> \
> Yield generated can be profitable or loss-making for the user. This depends completely on the market movements


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