

As a result, the risks associated with writing covered call options may be similar to the risks associated with writing put options. The premiums received from the options may not be sufficient to offset any losses sustained from the volatility of the underlying stocks over time. Certain content represents an assessment of the market environment at a specific time and is not intended to be a forecast of future events or a guarantee of future results material is as of the dates noted and is subject to change without notice.īy writing covered call options in return for the receipt of premiums, the Fund will give up the opportunity to benefit from potential increases in the value of the Index above the exercise prices of such options, but will continue to bear the risk of declines in the value of the Index. This material is strictly for illustrative, educational, or informational purposes and is subject to change. This information should not be relied upon as research, investment advice, or a recommendation regarding any products, strategies, or any security in particular. Indices are unmanaged and do not include the effect of fees. There can be no assurance that a Fund will achieve its stated objectives.

Investing involves risk, including possible loss of principal. Please note these links also contain the Funds' top ten holdings, performance, and other important information. Read the prospectus carefully before investing.
KLIB MEANING FULL
This and additional information can be found in the Funds’ full and summary prospectus, which may be obtained by visiting: Combining allocations to both KWEB and KLIP can help produce a targeted growth and income strategy by maintaining upside while trading performance uncertainty for more stable income.įollow consider the Funds’ investment objectives, risk factors, charges and expenses before investing.KLIP has the potential to provide higher yields than covered call strategies based on the US and other markets. KWEB provides exposure to the China internet sector, which has historically been more volatile than the US internet / technology sector.KLIP sells covered call options on KWEB, an established ETF with a deep options market.

Writing covered calls may produce higher yields during periods of market volatility.

