Bear put spread ETF ?

[Q.E.D.]

Contrary to a recent thread "Forever Bull Market," I've been searching for a conservative bearish strategy.

I'm aware of the buy puts, sell calls, and even individual bear put spreads, but am looking for a fund or ETF, that focuses on bear put spreads.

There are plenty of funds that do buy-writes, etc., but I have not found any entity that basically does short stock - write puts, or buy put spreads.

I get it, especially with Central Bank money printing, assets go up most of the time, so that is where fund managers focus.

Some info on trading bear put spreads:
https://optionswithdavis.com/the-ultimate-guide-to-trading-the-bear-put-spread-debit-spread/

And info about HIGH, a fund that generates income from selling calls:
https://seekingalpha.com/article/46...-generates-income-from-selling-option-spreads

One plus for option ETFs these days, is that margin money can be placed in TBills, thus starting with a 5% yield cushion.

 

[poopy]

A buy write fund is a short put fund, just less efficient.

 

[BMK]

There are plenty of leveraged inverse ETFs that short the major indexes.

But those are generally short-term plays. Are you looking for something longer term, i.e., a buy-and-hold ETF that is functionally equivalent to shorting... what? A particular index?

 

[Q.E.D.]

I am looking for a short stock and write put fund, or just a bear put spread.

The simple case would be bear put spreads on SPY.

But as for long / write calls, I'd prefer something that short say 100 -500 stocks, and wrote 100-500 individual puts against them, and then kept rolling those positions.

 

[mukoh]

Why pay the fund fees and etc just replicate yourself.

 

[Q.E.D.]

Why pay the fund fees and etc just replicate yourself.

Aside from the time and capital, commission savings, and fully using TBills for margins, would more than make-up for the fund fees.

For an individual, without a fully-manned computer operation, no way could I have say 500 + stock positions, with corresponding 500 + puts, constantly managing, rolling, etc.

 

[Cynthia Williams]

It's kinda like having a safety net in case things go south. But lemme tell ya, it's not a guaranteed win. I tried it once and ended up losing more than I expected. It was a bummer, for sure.

But hey, that's just my experience.

 

[Q.E.D.]

Not just "in case."
Markets have traded for thousands of years, even hundreds in the U.S. It has only been maybe 20 years, where markets have mostly just gone higher.

I suspect the next decade could be down, or at least flat, so a bear strategy may be worthwhile.

 

[newwurldmn]

Not just "in case."
Markets have traded for thousands of years, even hundreds in the U.S. It has only been maybe 20 years, where markets have mostly just gone higher.

I suspect the next decade could be down, or at least flat, so a bear strategy may be worthwhile.

Wouldn’t the cheapest position to be in cash for the next 10 years.

 

[Q.E.D.]

Wouldn’t the cheapest position to be in cash for the next 10 years.

Depends upon how risk adverse one is. This is a trading site, and whether long or short, goal is to profit from short-term or even medium-term tactics.