Assessment and selection of covered call funds is based on criteria like total return, distribution rate (sometimes referred to as yield), and fees.
A fundamental lesson in finance is a security’s price should be the present value of all future cash flows.
A fundamental lesson in finance is a security’s price should be the present value of all future cash flows. Cash flows typically consist of a regular string of dividend payments and an assumed liquidation value at the end of the time horizon.
Covered call strategies have been around for a very long time, but covered call ETFs have recently enjoyed a massive increase in popularity.
The popularity of Buffered ETFs, also referred to as Defined outcome ETFs, has exploded over the last five years. Historically there has been a wide deviation in caps over the years.
As investors have flocked to defined outcome funds or buffered outcome ETFs, certain questions have arisen, principally around buffered ETF performance and pricing.
The Defined Outcome investment landscape is rapidly evolving, offering new opportunities for managing risk and return with greater precision.
With Morningstar’s recent categorization of these funds, having a firm understanding of how they work and how to differentiate them is critical for investors. Join the experts at Swan Global for an educational exploration of options-based investing.
As we turn the page to a New Year, the environment is increasingly uncertain and unconventional, to say the least. The stock market is pushing new highs while the equity risk premium evaporates. As the Fed returns to a low-rate environment, generating income has become more difficult. Longer-term, structural problems loom over the U.S. economy as no one seems willing to fix the deficit and debt problems.
The last five years have bombarded investors with a seemingly never-ending array of challenges. Yet despite all these obstacles the S&P 500 is up almost 90% as of this writing.
Join the experts at Swan Global Investments for an educational webcast on how an active approach to hedged equity can mitigate risk in volatile times and capture growth opportunites.
What is interesting about the growth of hedged equity is that most of the assets are held in passively managed structures.
The derivative income space has grown tremendously over the last five years. Since the end of 2019 there has been a ten-fold increase in assets invested in derivative income ETFs and mutual funds, from $7bn to $73bn.
Since the Global Financial Crisis of 2007-09, fixed income investors have suffered the worst of both worlds. For a dozen years they endured the stingiest of yields on their fixed income holdings.
Join the experts at Swan Global Investments and learn how you can mitigate risk, generate income, and capture return.
Join our discussion to review this research and how a highly active approach may be the antidote to the dilemma, led by Swan Global Investments and O’Shares Investments , hosted by VettaFi’s Todd Rosenbluth.
We will explore research concerning passive, covered call income strategies, give an overview of the derivative income category and due diligence considerations, and take a closer look at an ‘active-active’ approach deployed in a new ETF.
Join the experts at Swan Global Investments and discover options-based solutions that can provide sustainable income for your clients regardless of Fed policy.
A cruder version of the above phrase, “Mess Around and Find Out”, has gained popularity in the American vocabulary. Politicians keep messing around with the creditworthiness of the nation’s sovereign debt. On August 1st, they found out.
In 2022, both fixed income and equities stumbled, creating greater focus on alternatives. As market headwinds continue to remain strong, investors are increasingly turning to alternative strategies to increase diversification, address higher rates, and mitigate risk. Join the experts at Swan Global and VettaFi for a webcast that digs into where alternatives can fit in a portfolio.
Topics will include:
The Banking emergency arising with mid-sized, regional banks is a direct consequence of policy decisions. Examine the causes of bank failures in 2023 and the potential for larger contagion.
In a world of instant updates and daily stock market news, investors often fixate on chasing short-term returns or “beating the market.”
Quick – where were you 25 years ago?
The 2022 investment year is now well underway and financial advisors and investors would be well advised to not, as the old saying goes, “fight the tape” of what is shaping up to be a difficult year for the stock market.
The Federal Reserve signaling a shift in monetary policy is causing a shift in the markets that have run hot on many years of stimulus and low rates.
As investors and financial advisors approach the end of 2021 and consider their annual recalibration of portfolio mix for the coming year, they would be prudent to factor in some difficult economic realities that can no longer be ignored–that will alter stock and bond performance into and well past 2022.
Everyone was eager to put 2020 behind us, yet the Covid hangover lingers.
The last month has been a particularly choppy one for markets, with the CBOE Volatility Index (VIX) spiking more than 80% during October. It’s clear the combination of rising interest rates, mounting trade tensions and looming recession fears are setting in.
