If you own bonds and want to generate additional yield on your holdings, it offers some protection to the downside.
Given the volatility in the market lately, it certainly makes sense.
If you’re looking to take a cautious, bullish position in the market, this trade is a savvy way of doing so.
It’s more of a stock appreciation trade than a yield trade.
It’s a low-risk trade with upside potential.
Up nearly 9% in June alone, a lot of the bullish action in gold has taken place recently. Here’s a trade to profit if gold keeps rising.
Here’s a trade that’s more focused on growth potential than yield.
In an often-overlooked sector, it may be about to take off.
If you believe the Fed will keep a lid on volatility, you can make a similar trade.
For a conservative bet there isn’t a lot of downside risk.