RYLD / RYLD: Traditional Strategies Outperform Covered Call Complexity

RYLD, a covered call writing fund, has performed poorly and has a sub 2% annual total return since inception. We explain why that has happened and why more_horizontal

Global X Russell 2000 Covered Call ETF is a covered call exchange-traded fund that focuses on small cap stocks and employs an at-the-money buy write s more_horizontal

The Global X Russell 2000 Covered Call ETF applies a covered call strategy against the Russell 2000 Index and Vanguard Russell 2000 ETF. RYLD has a lo more_horizontal

RYLD's covered call strategy offers statistical benefits and an appealing distribution schedule but faces challenges in the current economy. The natur more_horizontal

The Global X Russell 2000 Covered Call ETF (RYLD) seeks to generate income by selling at-the-money covered calls on tickers in the Russel 2000. Their more_horizontal

Financial markets have been more stable in 2023, with mega-cap stocks seeing significant gains but small-cap stocks remaining nearly flat. Option-sell more_horizontal

VettaFi's vice chairman Tom Lydon discussed the Global X Russell 2000 Covered Call ETF (RYLD) on this week's “ETF of the Week” podcast with Chuc more_horizontal

Funds that use options strategies similar to the Global X Russell 2000 Covered Call ETF usually outperform during market selloffs because of the incre more_horizontal