TrueShares Files Box Spread ETF Targeting Short-Term Fixed-Income Returns

TrueShares has filed to launch the TrueShares Box Spread ETF, an actively managed fund designed to generate short-term fixed-income-like returns through options rather than traditional bonds. The strategy combines four offsetting options with identical expiration dates to establish a predetermined payoff that is generally independent of movements in the underlying asset. Under favorable pricing conditions, the fund seeks to capture returns above the risk-free interest rate. It will construct box spreads using exchange-listed or FLEX options tied to U.S. large-cap stocks, indexes or ETFs, and may actively roll positions before expiration. Frequent rolling could increase trading costs and portfolio turnover. The non-diversified fund may also hold Treasuries, money market funds, fixed-income ETFs and investment-grade short-term corporate debt.