Samsung Asset Management Lists World's First Volatility-Based Covered Call ETF
Samsung Asset Management has launched the world's first volatility-managed conditional covered call ETF, named 'KODEX US S&P500 Covered Call ETF'. This ETF tracks the S&P500 index and generates option premiums using a covered call strategy when the volatility index (VIX) exceeds a certain threshold. The daily covered call strategy is employed during increased volatility periods, providing monthly dividends that appeal to long-term investors, with the VIX index serving as a primary indicator for volatility analysis.
The ETF is optimized for retirement and personal pension investments, allowing for the pursuit of long-term returns despite potential risk factors. Each quarter, excess performance from option premiums and stock dividends forms the basis for monthly dividend payouts. Additionally, investors may find it attractive that call options are sold when backwardation occurs, offering additional potential earnings.
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Samsung Asset Management to List KODEX USA S&P500 Volatility Expansion Covered Call ETFSamsung Asset Management announced on the 11th that it will newly list the KODEX USA S&P500 Volatility Expansion Covered Call ETF on the 12th. This ETF tracks the major U.S. index, the S&P 500, while executing a daily covered call strategy only during periods of increased volatility to receive option premiums. In normal situations, it does not use a covered call strategy and follows the index 100%. The criterion is the Volatility Index (VIX), known as the 'fear index'. The VIX must exceed its average of the past 20 days and the VIX futures market must be in backwardation.
Samsung Asset Management to List World's First Conditional Covered Call ETF on the 12th - Financial NewsThe world's first volatility management-based conditional covered call ETF has been launched. The KODEX U.S. S&P 500 Volatility Expansion Covered Call follows the renowned long-term investment benchmark, the U.S. S&P 500 index, while executing a daily covered call strategy only in scenarios where volatility expands to capture option premiums...
Samsung Asset Management to List Conditional Covered Call ETF on the 12th... 'World's First'The world's first volatility management-based conditional covered call ETF has been created. Samsung Asset Management announced that it would list the KODEX US S&P500 Volatility Expansion Covered Call ETF, which is advantageous for long-term investment due to smart volatility management based on market phases, on the 12th. The KODEX US S&P500 Volatility Expansion Covered Call ETF follows the S&P 500, a flagship index of the United States known for long-term investment, adopting a daily covered call strategy only in volatile markets to receive option premiums. In regular scenarios, it does not employ a covered call strategy and fully tracks the US S&P500 index.
Samsung Asset Management Lists ‘KODEX US S&P500 Volatility Expansion Covered Call’ - EdailySamsung Asset Management announced on the 11th that it will list the world’s first conditional covered call Exchange Traded Fund (ETF) based on volatility management, the ‘KODEX US S&P500 Volatility Expansion Covered Call ETF’, on the 12th. This product is related to the long-term investment symbol, the US benchmark index S&P500...
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