Tag - option overlay

Advice to the Advisors

Elevator panel controls | Sheaff Brock | Option Overlay for Additive Returns

For the Right Clients, Option Premiums Can Offer Additive Returns

“Most economic indicators are benign,” James B. Stewart commented in a New York Times article towards the start of 2019, noting the exceptionally low unemployment rate and low inflation. In an earlier First Trust Monday Morning Outlook report, Chief Economist Brian S. Wesbury made some positive observations of his own that may still be relevant: “As the summer goes on, we expect evidence will continue to show that the economy isn’t slipping into recession.” Wesbury makes note of several [...]

Advice to the Advisors

Option Overlays Timely and Timeless | Sheaff Brock Institutional Group

Option Overlay Strategies—Timely, Yet Timeless

One over-arching theme in any financial-advisor-to-client messaging is the power of time, with the goal being to select investment tactics which are timely, yet which belong in portfolios based on timeless wisdom. In that context, option overlay strategies, Sheaff Brock posits, become a particularly relevant topic. There’s nothing new about option overlays. In fact, as Institutional Investor explains, the majority of U.S. pension plans have adopted overlay techniques as part of their investment tactics. And, while in investment vocabulary, the term “overlay” can have [...]