DeltaShift
For wealth managers
Parametric’s DeltaShift is a managed call-options-writing strategy that can be used in conjunction with single stocks and equity indexes. DeltaShift seeks to dampen volatility while enhancing equity portfolio return by capturing the volatility risk premium (VRP).
DeltaShift is most often implemented as an overlay without the need to adjust equity holdings or manager allocations. When combined with the underlying equity exposure, DeltaShift exhibits a long-term average beta of approximately 0.9. It is designed to provide a buffer against downside risk while still maintaining some upside participation in strong up markets.
Investing in an options strategy involves risk. All investments are subject to loss. Learn more.

Stock DeltaShift
For investors with a concentrated stock position, this strategy seeks to increase total return while reducing the numbers of shares sold and maintaining as much upside participation as possible.
Portfolio DeltaShift
This index options overlay strategy can be implemented in conjunction with diversified equity portfolios or index-based strategies to help enhance total return and reduce portfolio volatility.
Explore more VRP solutions
Rules-based risk mitigation
What happens when a stock appreciates sharply?
- Traditional call writing means receiving an increased yield in exchange for giving away upside (being capped at a target level).
- Unlike traditional covered call writing, a key goal of DeltaShift is to maintain substantial (but not all) upside participation during times of sharp appreciation.
During these times:
- The total value of the account will likely continue to appreciate (not be capped), but it may underperform the index itself.
- We expect some share sales at these appreciated prices—though share sales may be avoided, in certain cases, by cash contributions to finance the repurchase of the in-the-money options.
Intended benefits of DeltaShift

Flexible implementation
Learn more >>
DeltaShift may be implemented either as a fully funded strategy or as an overlay across a range of underlying portfolios, including active equities, index funds, ETFs, or single stocks.

Attractive risk-return profile
Learn more >>
DeltaShift seeks to enhance returns, generate income, and reduce volatility in most market environments.

A diversifying premium
Learn more >>
Options prices contain a volatility risk premium (VRP) paid by options buyers to option sellers. A covered call program can capture the VRP by selling options without introducing leverage.

Improved liquidity
Learn more >>
DeltaShift aims to generate excess cash during down markets that may serve as a cash flow hedge in periods of market stress.
There is no guarantee that the strategy will be successful. Investing in an options strategy involves risk. All investments are subject to loss.
Why choose Parametric?

Get in touch
Want to know more about our DeltaShift solutions? Complete our contact form, and a representative will respond shortly.
More to explore
Fixed Income Tax Loss Harvesting: Realizing Losses No Matter When They Occur


by Nisha Patel, Managing Director; Nicholas Stahelski, Vice President, Portfolio Manager
April 10, 2025
Learn how an “all weather” approach to fixed income tax loss harvesting helps to add value in any market climate.
Harvesting Tax Losses in Volatile Equity Markets

by Jeremy Milleson, Director, Investment Strategy
April 9, 2025
When nobody knows where the market is headed next, Parametric seeks to help investors weather the volatility storm.
As Tariffs Cloud Outlook, Municipal Bonds May Offer Opportunity

by Jonathan Rocafort, Managing Director, Head of Fixed Income Solutions
April 8, 2025
With growth concerns emerging following tariff announcements, here’s why we see potential opportunity in stepping out of cash, adding some duration and locking in yields near a decade high.