FLYDMicroSectors Travel -3x Inverse Leveraged ETN
FLYD Fund Description
FLYD tracks -3x the daily price movements of a liquidity-weighted index of US-listed travel-related companies.
FLYD Factset Analytics Insight
FLYD provides daily 3x inverse exposure to an index of large-cap companies in the travel and tourism industry. The fund will comprise those engaged in specified segments including hotels, resorts, cruise lines, casinos and gaming, and leisure activities that meet certain requirements. Eligible securities must be listed on a US exchange, classified in the travel industry, and have a market-cap of at least 3 billion USD. Selected constituents will then be assigned a weighting in accordance with their 12-month average daily value traded, with individual capping at 25%. The index is rebalanced monthly and reconstituted quarterly. As a leveraged product with -3x factor that resets daily, FLYD is not a buy-and-hold investment and should not be expected to provide index leverage return greater than a one day period. In addition, since this is structured as an ETN, investors assume the credit risk of the Bank of Montreal.
FLYD Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of FLYD. FLYD is rated a N/A out of 5.
Options Strategies for Outcome Investing
A collar strategy is a protective option strategy constructed by writing a call and buying a put with the same expiration date while being long the underlying security.
A covered call is an income strategy constructed by writing a call option against a holding of the underlying security.