Objective*

The objectives of the strategy are to either decrease the volatility or increase the yield of an equity portfolio.  Our covered call strategy can be customized to suit each client’s particular investment objectives.  It can be run as an overlay to an existing equity portfolio or on a fully funded basis.

*There is no guarantee that the investment objective will be met.

Process

The investment process for the strategy is driven chiefly by our proprietary volatility forecasting ability. Analytic uses these forecasts to develop expected returns for every option in the relevant universe. Those expected returns allow us to use an optimizer to structure the most attractive call portfolio given the specific asset allocation of the underlying equity portfolio over which the calls are being written.

Portfolio Characteristics

Strategy Inception: Analytic has been providing options based investment solutions for our clients for over 15 years.
Investor Fit: Investors comfortable with the use of options and other derivatives that are looking to either increase the yield or decrease the volatility of an equity portfolio.

Please click on the following link to obtain a Fact Sheet which will contain more detailed information, including performance information, for this solution.