Nuveen Investments plans to launch a new closed-end exchange-traded fund next month that will invest in call and put options in order to enhance performance and hedge against downside risk. It will be called the Nuveen Equity Premium Advantage Fund..

"We believe this new fund may offer traditional fixed-income investors as well as equity investors a risk-managed equity-based strategy with the potential to generate high levels of consistent cash flow and to provide some appreciation over time," said Bill Adams, executive vice president at Chicago-based Nuveen.

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