Global X S&P 500 Covered Call & Growth ETF (XYLG)
Global X S&P 500 Covered Call & Growth ETF operates in the Asset Management industry of the Financial Services sector, headquartered in New York, NY, US. The stock last traded at $29.69, up 0.17% on the session, giving a market capitalisation of $67.5M. Its beta of 0.71 implies it has historically moved less than the broad market.
XYLG attempts to provide the best of two worlds, growth and yield. The fund holds the stocks of the S&P 500 Index and writes one-month, at-the-money Index call options on half of the portfolio value. The call options are held through expiration, either expiring or settling in cash. The fund looks to earn some premium income from half of the portfolio while allowing the other half upside potential. Holding the various positions and writing index call options inside an ETF wrapper is a more efficient way to access the strategy. The strategy should reduce volatility and help generate some income, compared to the index itself, but it also places a drag on the overall upside potential.
Global X S&P 500 Covered Call & Growth ETF is most often compared with the following Financial Services names: