Wall street has been using this strategy for decades…
You may think that accessing cash means taking out a personal loan, HELOC, SBLOC, PAL, margin loan, or
selling investments.
These options may come with:
- High interest rates
- Possible taxes
- Monthly payments
- Lengthy underwriting
Box spread financing offers a different approach.
By using a structured options strategy, it can act like a low-interest loan backed by your portfolio, giving
you potential liquidity while keeping your investments working for you.
Potential benefits include:
- Borrowing at lower rates
- Access to cash faster
- Helping to reserve long-term portfolio growth
- Possibly avoiding capital gains triggered by selling investments
- Flexibility in repayment
Important: This strategy involves collateralized positions and may have margin requirements. Market
movements can affect your position, so understanding the mechanics is key. Various risks are involved.
For investors seeking liquidity without disrupting long-term goals, box spreads can be a powerful tool in
your financial toolbox.
If this raises questions about your current plan or want to learn more, let’s discuss further.
Noah Ellison, CFP®, MBA
Helping you build, protect, and create a legacy.
Retirement Planning Solutions, LLC is an SEC registered investment adviser. SEC registration does not
constitute an endorsement of Retirement Planning Solutions, LCC, by the SEC nor does it indicate that
Retirement Planning Solutions, LLC has attained a particular level of skill or ability. This material
prepared by Retirement Planning Solutions, LLC is for informational purposes only. It is not intended to
serve as a substitute for personalized investment advice or as a recommendation or solicitation of any
particular security, strategy or investment product. Options involve risk and are not suitable for all
investors. Trading options can result in the loss of the entire investment and, for certain strategies,
losses may be unlimited. Investors should understand the characteristics, risks, and obligations of
options before trading. Prior to trading, investors must review the Options Clearing Corporation’s
Characteristics and Risks of Standardized Options (ODD), available from your broker or the OCC. Past
performance does not guarantee future results.
Advisory services are only offered to clients or prospective clients where Retirement Planning Solutions,
LLC and its representatives are properly licensed or exempt from licensure. No advice may be rendered
by Retirement Planning Solutions, LLC, unless a client service agreement is in place. This material is not
intended to serve as personalized tax, legal and/or investment advice since the availability and
effectiveness of any strategy is dependent upon your individual facts and circumstances. Retirement
Planning Solutions, LLC, is not a legal or accounting firm. Please consult with your legal or tax
professional regarding your specific tax situation when determining if any of the strategies mentioned
are right for you