Direxion is expanding beyond leveraged and inverse ETFs with the launch of six Defined Income Boost ETFs. This new suite of non-leveraged funds designed to generate income by writing call options on individual high-volatility stocks.
The lineup includes:
Each fund tracks a published, rules-based Cboe index that seeks to deliver a defined income stream while maintaining closer alignment with its underlying stock than traditional covered-call strategies.
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The launch reflects growing demand for income strategies tied to high-growth technology stocks that pay little or no dividends. Rather than relying on dividend distributions, these ETFs aim to generate cash flow by systematically selling call options on stocks such as Nvidia, Tesla, Alphabet, Meta, Palantir and Micron.
The products also mark a strategic expansion for Direxion, which has traditionally been known for leveraged and inverse ETFs. According to the firm, the Defined Income Boost lineup applies the same derivatives expertise in a non-leveraged format, targeting investors who want exposure to some of the market’s most closely followed growth stocks while potentially earning regular option premium income. Direxion said the six ETFs represent the first phase of what it expects to become a broader family of income-focused products.
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