Leverage Shares Expands IncomeShares Product Line with 0DTE Options ETPs on Nasdaq 100 and S&P 500

Leverage Shares, a leading ETP issuer that recently surpassed $1 billion in assets under management (AUM), has launched two new exchange-traded products (ETPs) as part of its IncomeShares product line. These ETPs, which began trading on the London Stock Exchange (LSE), are the first in Europe to utilize zero days to expiration (0DTE) options, providing investors with tools for generating income through major market indices.

How the ETPs work

These new ETPs employ a strategy of selling in-the-money (ITM) put options with zero days to expiration, designed to capture maximum premium. This approach seeks to generate income for investors while providing exposure to two of the most prominent global indices: the Nasdaq 100 and the S&P 500.

The ETP Securities aim to harvest yields, while retaining upside exposure to up to the options’ strike price. The income generated is paid out each month.

 "Put-write" strategies are similar to covered calls in that the upside is capped, while the downside isn't.

1. Investors generally want downside protection, so puts are often more expensive than call options. These aim to 'capture' that difference.
2. In a generally rising market, systematically writing puts may outperform a covered call strategy.

Why Investors Should Consider IncomeShares ETPs

 While 0DTE options strategies have gained traction in the U.S., this launch marks the first time such products are available in Europe.

 The key features and benefits include:

• Income Generation: Enhanced monthly income through the sale of cash-secured put options, with returns earned on cash held.
• Accelerated Premium Collection: By focusing on 0DTE options, the ETP capitalizes on rapid time decay, especially in the final hours before expiration.
• Income Diversification: Income from options premiums isn’t directly linked to interest rates or dividends, offering a diversified stream that complements other income sources in a portfolio.

About Leverage Shares

Leverage Shares is the largest European issuer of single stock ETPs by AUM & trading volume. It is the only provider of physically-backed ETPs on single stocks, ETFs and commodities.

Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.