EQUITY

Parametric Custom Core™

  • Seeks to provide the benefits of market-like returns
  • Active tax management provides potential for enhanced after-tax returns
  • Customized to reflect client values and investment preferences:
    • Social/environmental filters
    • Screening to avoid overconcentrations
    • Sector/industry/security exclusions

 

Learn More: Parametric Custom Core Strategy Overview »


Option Overlay Strategies

Parametric's overlay strategies offer a way to enhance returns on your clients' existing assets. These strategies are designed to smooth out return characteristics, lower portfolio volatility or create an additional source of income — without making changes to the underlying portfolio.

DeltaShift

  • Actively managed covered call writing program for portfolios of concentrated single-stock positions
  • Designed to enhance risk-adjusted return and generate incremental cash flow in most market environments
  • Designed to maintain significant upside exposure in rising markets
 

Learn More: DeltaShift Strategy Overview »


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Portfolio DeltaShift

  • Actively managed call writing program implemented by selling call options on an index that correlates to the expected returns of a client’s diversified portfolio
  • Designed to enhance total return and reduce portfolio volatility
  • Seeks to achieve a total return equal to, or greater than, a client’s passively or actively managed portfolio
 

Learn More: Parametric Option Overlay Strategies Flyer »


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Risk-Managed Put Selling (RPS)

  • An S&P 500 Index put option spread selling strategy to generate tax-friendly premium with low volatility and defined risk
  • Seeks returns that are uncorrelated to fixed-income investments
  • Looks to take advantage of the general imbalance of natural buyers of equity index options over natural sellers
 

Learn More: Parametric Option Overlay Strategies Flyer »


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Option Absolute Return Strategy (OARS)

  • An S&P 500 Index put and call spread selling strategy to generate tax-friendly premium with low volatility and defined risk
  • Seeks returns that are uncorrelated to traditional investments
  • Looks to take advantage of the general imbalance of natural buyers of equity index options over natural sellers
 

Learn More: Parametric Option Overlay Strategies Flyer »


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Dynamic Hedged Equity (DHE)

  • Hedging program implemented by buying put options and selling call options on an index that correlates to the expected returns of a client’s diversified equity portfolio
  • Seeks to produce returns consistent with outright long exposure of the underlying index (net of fees) over multiple market cycles
  • Maintains a high level of liquidity and transparency by utilizing only exchange-traded options
 

Learn More: Parametric Option Overlay Strategies Flyer »


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Tools and Resources


Wealth Strategies Specialists

Contact your dedicated specialist to learn more about our suite of specialized strategies.

DOWNLOAD

Laddered Investing Interest Rate Scenario Tool

Explore how laddered portfolios may perform during a rising interest-rate environment.

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Concentrated Stock Position Calculator

Discover how diversifying can be a better option than a taxable sale of stock.

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Investment Tax Center

View the breakdown of how taxes could consume more than 50 cents of every dollar earned.

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Tax-Equivalent Yield Calculator

See how munis’ favorable tax status compares with taxable bonds of equal quality and maturity.

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Fund share values are sensitive to stock market volatility. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. In emerging countries, these risks may be more significant. No Fund is a complete investment program and you may lose money investing in a Fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

Investing entails risk, and each investment strategy listed is subject to specific risks, highlighted below.

Equity: Equity investment values are sensitive to stock market volatility.

Volatility: While certain funds have a targeted annual performance volatility range, their actual, or realized, volatility for longer or shorter periods may be materially higher or lower than the target range, depending on market conditions.

Taxes: Market conditions may limit the ability to generate tax losses or to generate dividend income taxed at favorable tax rates. The ability to utilize various tax-managed techniques may be curtailed or eliminated in the future by tax legislation or regulation.

Option strategy risk: The effectiveness of an option strategy is dependent upon a general imbalance of natural buyers over natural sellers of index options. This imbalance could decrease or be eliminated, which could have an adverse effect on a client portfolio.

Option overlay: An investor that sells an index call option incurs a liability in exchange for the up-front receipt of the option premium received. There is no guarantee that the investor’s portfolio will accurately track the index performance. This liability may result in the needed sale of assets. Participation in the program includes the purchase of put options or put spreads. There is no guarantee that the index put options included in the program will effectively protect the investor’s actual portfolio holdings. The actual performance of the investor’s portfolio may underperform the index and result in significant losses for the investor. The purchase and sale of options and the sale of investor assets may produce tax consequences for U.S. taxpayers. In the event of required asset sales, substantial capital gains taxes could be incurred. Discuss with your personal tax advisor how selling call options, purchasing put options or put spreads, and any potential sales of investor assets may affect your tax situation.

Advisory Services described here are offered through Eaton Vance Management and Parametric Portfolio Associates LLC. Investors should contact their financial advisor, as not all investments are suitable for all investors.

Past performance is no guarantee of future results.