In case anyone isn't familiar, the idea is to buy long bonds with enough of their portfolio that the bond payments will bring you back to even (think 97%) if you lose the rest of the account and then they buy long ATM S&P (or index of choice) 12m LEAPS calls with the remainder (like 3%).
The idea being that you stay where you are at during down years and you see significant upside during good years.
Is anybody using a strategy remotely like this in their own accounts?
I don't, and haven't ever, done this myself. I have considered it several times, however. I have started to consider it again more lately as a way to add some more defensiveness to my portfolio.
If anyone has tried to do something similar as retail, I would be interested to hear what you thought about the results. That could perhaps involve long SPX futures, long bond futures, and some NUSI or something. Doesn't really matter what it is, just throwing some ideas out there.
Submitted November 18, 2021 at 11:00PM by Raiddinn1 https://ift.tt/3nvH1PN
