Leverage Shares has extended its IncomeShares range with Europe’s first exchange-traded products (ETPs) based on zero-days-to-expiry options capturing the S&P 500 and Nasdaq 100.
The IncomeShares S&P 500 Options (0DTE) ETP (SPYY) and IncomeShares Nasdaq 100 Options (0DTE) ETP (QQQY) are listed on the London Stock Exchange with a total expense ratio (TER) of 0.45%.
The two ETPs sell in-the-money put options with zero days to expiry, intended to generate monthly income while offering exposure to the returns of underlying exposures, up to a pre-determined cap.
SPYY will be based on puts on either the SPDR S&P 500 ETF Trust or the S&P 500 index with a daily option expiry, while QQQY will be based on puts on either the Invesco QQQ Trust or Nasdaq 100 index.
Oktay Kavrak (pictured), director of communications and strategy at Leverage Shares, commented: “With these new IncomeShares ETPs, we are taking a bold step forward, giving investors the chance to squeeze every drop of premium out of today’s volatile markets.”
The launches take the firm’s IncomeShares offering to five ETPs, after the firm launches Europe’s first covered call single stock and gold ETPs – the IncomeShares NVIDIA (NVDA) Options ETP (NVDI), IncomeShares Tesla (TSLA) Options ETP (TSLI) and IncomeShares Gold+ Yield ETP (GLDE) – in July.
The new arrivals also follow increased uptake of zero-days-to-expiry options in the US, with the contracts offering a low-cost route to capturing the intraday movements of ETFs, indices and indices, owing to their limited time to expiry.
