Heightened inflation has forced financial advisors to adopt new strategies to generate income and help clients stay invested. When the traditional 60/40 portfolio mix is no longer reliable, advisors can seek out alternative methods of return, such as dividend growth and multi-asset strategies.
In the upcoming webcast, Postcards from the Hedge: To Battle Inflation, Try These Unique Strategies, Kevin Simpson, Founder and CIO, Capital Wealth Planning, LLC; and Gavin Filmore, Executive Vice President, Head of Product Development, Toroso Investments, will engage in a discussion about two powerful inflation-fighting strategies to help financial advisors adapt to the new normal.
For instance, the Amplify CWP Enhanced Dividend Income ETF (DIVO) is an actively managed income-generating tool. The fund writes covered calls on individual holdings, not an index. Selling covered calls involves selling options on underlying securities in which an investor already holds long positions. This strategy aims to guard against downside in the underlying security, generate some profits in sideways markets, and bolster a portfolio’s income stream. Furthermore, the dividend and option income may provide lower share price volatility compared to the overall market during times of broad-based market declines.
Additionally, the Amplify Inflation Fighter ETF (NYSE Arca: IWIN), an actively managed strategy, invests in asset classes that seek to benefit, either directly or indirectly, from inflation. The actively-managed approach enables IWIN to identify and act on opportunities and risks across inflation-friendly asset classes. IWIN has a first-to-market approach of owning a mix of stocks and other securities, as well as futures linked to commodities. The portfolio comprises stocks, SPACs, convertible debt, commodity REITs, and ETFs or futures linked to commodities, including but not limited to oil, gold, and bitcoin.
Financial advisors who are interested in learning more about inflation-fighting strategies can register for the Wednesday, June 15 webcast here.