New strategy ETF by Global X on Xetra: Access to S&P 500 companies in combination with covered call strategy
New strategy ETF by Global X on Xetra: Access to S&P 500 companies in combination with covered call strategy
Since Thursday, a new Exchange Traded Fund by Global X is tradable on Xetra and via the Börse Frankfurt Trading venue.
Withthe Global X S&P 500 Covered Call UCITS ETF investors benefit from the performance of the 500 largest US companies in combination with the covered call strategy, also known as the buy write strategy. It tracks the performance of the S&P 500 and generates further revenues by selling call options. This reduces losses in negative market environments, but profits can be limited in times of positive market phases.
The covered call strategy offers investors an improved risk profile by reducing the risk of losses through the premium of sold call options.
Name | Asset class | ISIN | On-going charges | Distribution policy | Reference index |
Global X S&P 500 Covered Call UCITS ETF | Equity-ETF | 0.45 per cent | distributing | CBOE S&P 500 BuyWrite 15% WHT Index |
The product offering in Deutsche Börse's XTF segment currently comprises a total of 2,043 ETFs. With this selection and an average monthly trading volume of around €16 billion, Xetra is the leading trading venue for ETFs in Europe.