Defined-outcome, income and option-based strategies are increasingly crossing product boundaries as ETFs adopt techniques traditionally associated with structured products.
The convergence between structured products and ETFs is accelerating as defined-outcome, covered-call and autocallable strategies move across product wrappers. A defined outcome only counts if you can actually deliver it, and that is what methodology design is really about - Karan Sood, Vest Financial Recent product launches illustrate the trend. First Trust has expanded its range of structured and option-based ETFs this year, including three single-stock target income ETFs linked to Tesla,