Additionally, investors may look at the iPath CBOE S&P 500 BuyWrite Index ETN (NYSEArca: BWV), which also tracks the CBOE S&P 500 BuyWrite Index. Investors, though, should note that this is an exchange traded note, which is an unsecured debt obligation subject to the credit worthiness of the issuing bank.
However, in the current up trending markets, the buy-write strategy has not been as spectacular. The PBP has gained 7.0% and BWV rose 6.4% year-to-date, compared to the 14.0% increase in the S&P 500.
For more information on buy-write funds, visit our buy-write category.
Max Chen contributed to this article.