AdvisorShares is currently prepping to launch an alternative income exchange-traded fund in early 2013.
According to a Securities and Exchange Commission filing, the AdvisorShares Recon Capital Alternative Income ETF (PUTS), will sell put options on equities in each of the ten sectors of the S&P 500 Index. The put options generally will consist of at-the-money puts on large-cap and mega-cap securities.
Recon Capital Partners is the fund’s sub-advisor. It is managed by Kevin Kelly and Garrett Paolella.
The fund’s fees were not disclosed in the filing.