New York – September 08, 2026 -- Trading volumes on stock exchanges typically drop noticeably during the summer months, as many investors step back and assume quiet markets offer no opportunities. Wall Street expert Anne Schwedt argues that assumption is wrong -- even sideways-moving markets can generate income for long-term investors.
"Many investors believe they can only earn money in the stock market when share prices rise. In reality, there are strategies that generate returns even in calm or sideways markets," says Schwedt, an investor who has lived and worked in New York for more than a decade after starting her career reporting from Wall Street.
Investors can effectively 'rent out' shares they already own for extra income
One method Schwedt highlights involves using options on stocks already held in a portfolio to collect a premium, without needing the share price to move. "Whoever only bets on rising prices has dead time in their portfolio during quiet phases. Whoever rents out their shares earns money even then," she says.
Quiet summer periods also give investors a chance to review their holdings without the pressure of volatile markets -- checking diversification and confirming which stocks they would still want to hold even if prices stayed flat for years.
Only liquid, high-quality stocks work for this strategy
Not every stock suits this approach. Schwedt says the underlying company needs a stable business model with reliable revenue and profit, plus enough trading volume to attract counterparties for the options strategy. "You need renters for your shares. And that marketplace, in real depth, only exists in the U.S. -- Apple alone is bigger than the entire DAX," she says.
The premium should never be the primary reason to buy a stock, according to Schwedt. "The premium is the bonus, not the reason. I only buy companies I'd want to keep even if they traded sideways for five years," she says. She also recommends spreading holdings across multiple sectors and only investing in businesses an investor genuinely understands.
Schwedt teaches selection criteria rather than specific stock picks
Rather than issuing buy recommendations, Schwedt focuses on criteria investors can reapply across different market conditions and personal circumstances, since capital, time horizon and risk tolerance vary by individual. "I deliberately don't give buy tips. Whoever only buys what someone else recommends learns nothing and is dependent again next time," she says, summarizing her approach as teaching people to fish rather than handing them a fish.
She cautions that collecting premiums is not a hedge against losses -- it can soften a decline in a held stock's price but cannot prevent it. The strategy does not replace careful company selection or a clear-eyed view of risk.