Explore Shelton Capital Management’s Option Overlay Lineup
Overview
Shelton Capital Management’s option overlay strategies are designed for investors and advisors seeking disciplined option-based solutions across income, growth, risk management, and concentrated stock planning needs.
These strategies include covered call and option overlay approaches used in mutual funds, ETFs, and separately managed account structures. Depending on the strategy, options may be used to pursue current cash flow, support a defined risk/return tradeoff, help manage concentrated equity exposure, or participate in growth-oriented markets with downside mitigation.
For advisors, the lineup may support conversations around cash-flow generation, concentrated position management, covered call implementation, portfolio transition planning, and client-specific option overlay objectives.
Strategy objective
These strategies are designed to use options in a disciplined way to support portfolio objectives such as current cash flow, concentration management, downside mitigation, or a defined risk/return tradeoff.
Advisor Relevance
For advisors, Shelton’s option strategies may support client conversations around income, portfolio transition planning, concentrated stock management, and the use of options as part of a broader allocation framework.
Potential advisor discussion points:
- Current cash flow generation.
- Concentrated stock management.
- Covered call implementation.
- Defined target sale prices.
- Gradual portfolio transition and diversification planning.
- Option-based ETF, mutual fund, and SMA implementation choices.
Investment philosophy
The philosophy behind Shelton’s option strategies is that options should not be viewed only as standalone trading tools. Instead, Shelton positions them as part of a broader portfolio conversation tied to client goals, risk tolerance, tax considerations, and long-term planning.
Across the lineup, options may be used to help make existing assets more productive, support cash-flow-oriented portfolios, define target sale prices, manage single-stock concentration, or pair equity exposure with downside mitigation.
Contact Us for More Information
We have a team of professionals dedicated to supporting the needs of our advisor clients.
Explore market commentary
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Weekly Fixed Income Commentary – October 8, 2026
Economic Commentary Our Take The ISM prices paid index reaching its highest level in more than four years raises additional inflation concerns, particularly as services inflation has historically proven more persistent than goods inflation. Therefore, it should be no surprise that recent speeches by FOMC members articulate continued commitment to controlling inflation yet are mixed…
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Weekly Fixed Income Commentary – October 1, 2026
Economic Commentary Our Take The general consensus is that the economy remains strong, the consumer remains resilient, inflation is still elevated, uncertainty around the conflict with Iran persists, and interest rates continue to move higher while bond market volatility remains elevated. There are many ways this story reverses – AI spending slows down if the…
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Weekly Fixed Income Commentary – September 25, 2026
Economic Commentary Our Take Interest rates have been spiking almost relentlessly lately, on account of strong economic growth, high energy prices, supply shocks, and a Fed rate hike cycle. Fed history suggests yields can tend to peak 2-3 months after the first hike. This time, geopolitics could play a larger role in determining whether that…
Important Considerations
Past performance does not guarantee future results. Prospective clients should carefully consider the fees and expenses associated with any investment. All investments carry a certain degree of risk, including the possible loss of principal and there are specific risks that apply to each investment strategy.
The strategies are subject to several risks, any of which could cause an account to lose money. Options involve risk and are not suitable for everyone. Prior to buying or selling an option, your client must receive a copy of characteristics and risks of standardized options. Copies of this document may be obtained here or from any exchange on which options are traded or by contacting The Options Clearing Corporation, One North Wacker Dr., Suite 500, Chicago, IL 60606 (1-800-678-4667).
Any strategies discussed, including examples using actual securities’ price data, are strictly for illustrative and educational purposes only and are not to be construed as an endorsement or recommendation to buy or sell securities. You should review transaction costs, margin requirements and tax considerations with a tax advisor before entering into any options strategy. There are management fees and other charges associated with the Shelton Separately Managed Account programs.
Any projections or other forward-looking statements regarding future events or performance of markets, companies, or otherwise are not necessarily indicative of, and may differ from, actual events or results. Supporting documentation for any claims, comparisons, recommendations, statistics or other technical data will be furnished upon request.
Shelton Capital Management is an investment adviser in Denver, CO. Shelton Capital Management is registered with the Securities and Exchange Commission (SEC). Registration of an investment adviser does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the Commission. Shelton Capital Management only transacts business in states in which it is properly registered or is excluded or exempted from registration. A copy of Shelton Capital Management’s current written disclosure brochure filed with the SEC which discusses among other things, Shelton Capital Management’s business practices, services and fees, is available through the SEC’s website at: www.adviserinfo.sec.gov INVESTMENTS ARE NOT FDIC INSURED OR BANK GUARANTEED AND MAY LOSE VALUE.
This information does not constitute advice or recommendation or offer to sell or a solicitation to deal in any security or financial product. It is provided for information purposes only and on the understanding that the recipient has sufficient knowledge and experience to be able to understand and make their own evaluation of the proposals and services described herein, any risks associated therewith and any related legal, tax, accounting or other material considerations. To the extent that the reader has any questions regarding the applicability of any specific issue discussed above to their specific portfolio or situation, prospective investors are encouraged to contact Shelton Capital Management or consult with the professional advisor of their choosing.
