A systematic, portfolio-based approach to autocallables could offer investors a differentiated source of income alongside traditional bonds and covered call strategies, according to a recent report.
Income investors are increasingly looking beyond traditional fixed income as higher rates, equity volatility and changing market conditions reshape portfolio construction, according to a new whitepaper from MerQube. MerQube noted that traditional income strategies each expose investors to different sources of risk The 'Autocallable Income Comes of Age: A Systematic Framework Beyond Bonds and Covered Calls' whitepaper talks about whether autocallables can serve as a standal