GLDICredit Suisse X-Links Gold Shares Covered Call ETN
GLDI Fund Description
GLDI offers the returns of a covered call strategy comprised of shares of the ETF GLD, a physical gold ETF, and one-month call options with a strike price of 103% of GLD.
GLDI Factset Analytics Insight
GLDI adds a new twist to the gold segment, tracking an index that uses a covered-call strategy to add income to an asset devoid of yield. The note's index mimics a hypothetical GLD position, coupled with a short position in GLD calls expiring the next month with strike prices 3% higher than the price of GLD at the time of sale. The premiums from the short-call position are replicated with coupon payments and are subtracted from the value of the index. This widely used strategy adds yield, but at the cost of upside participation. It's therefore likely to perform very differently from spot gold prices, and not for those looking for pure gold exposure. GLDI aims to distribute yield monthly, typical of an ETN.
GLDI Portfolio Management
GLDI Tax Exposures
GLDI Fund Structure
GLDI Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of GLDI. GLDI is rated a 5 out of 5.
GLDI Sector Breakdown
GLDI Tenor Strategy
GLDI holds physical bullion. Prices will reflect the current spot market values.
GLDI Rolling Strategy
Since GLDI holds physical bullion rather than futures contracts, it does not have a roll strategy.