Brendan McCurdy: Is now right to 'buy-write'?

In today's challenging market environment, US equity large-cap valuations are elevated versus history, European growth is questionable and forward-looking equity return expectations are muted. Such an environment is one where so-called ‘buy-write' strategies could help deliver the yield, returns and volatility benefits many investors are seeking. Buy-write strategies offer exposure to equities but also seek additional income through call-option premiums. In times of flat equity returns, these strategies have often outperformed. As an example - and as the following chart illustrates - ...