The versatility of the ETF structure has always been one of its greatest strengths and this is no less true when it comes to options markets. Put and call options on ETFs (and more broadly, ETPs) in Europe have received far less attention than what their ingenuity and usefulness would suggest. As financial markets move into a new regime of higher rates with spikes in volatility more likely, ETP options can be a very valuable tool for investors looking to achieve specific investment outcomes or to manage risk.
In this publication we introduce some of our key strategies that we have used for clients of our options advisory service.