Make Your Fixed Income ETFs More Interesting With Options
Even with rates going higher, fixed income ETFs don’t tend to move all that much. One way to amplify your cash flow from a fixed income product is by using options.
Last week, some appeared to have sold 25,000 put spreads in the Invesco Senior Loan ETF (BKLN). BKLN has only moved in a $2 range this year, so selling put spread is one way to potentially juice the returns for an otherwise stagnant product.
Watch this short video to see how it’s done.
This post originally appeared at Investors Alley.
Category: Options Trading Strategy