Index Overview
KEDI U.S. AI Value Chain 90% Participation + Daily Options Premium Index
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Daily covered call strategy with 90% participation on the top AI leaders and innovators driving the U.S. AI ecosystem.
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Description
The index is designed to provide investors with a covered call strategy that combines targeted long exposure to Akros US AI Value Chain TOP3Plus Index with a systematic approach to generating income through the short exposure to call options on NDX. By maintaining a long position in the top 3 companies most relevant to AI value chain, the index captures the potential for capital appreciation in the companies that best represent the value chain related to artificial intelligence. Simultaneously, the strategy incorporates short exposure to NDX call options with a fixed cover ratio of approximately 10% to allow investors to collect a premium income. The index is looks to provide a balanced investment strategy that captures both the capital growth of companies in the AI value chain and income gain through the sales of call options.