1Yr·

Speaking of dividends.... Part 1

I like these covered calls. And if they keep their first monthly distribution, it will be an annual 10%. It's still really small and fairly new and I'm curious to see how it develops. Big price jumps are not to be expected, monthly payments are always something nice for me.

05.06

Global X Euro STOXX 50 Covered Call UCITS ETF EUR

Bought x1000 at €15.14

€15,138.00

16 Comments

Epi@Epi

1Yr

Covered calls could actually make sense for the Dümpelindex EU50. 🤔

•

Dividendenopi👴@Dividendenopi

1Yr

@Epi That is the plan, it is certainly running a lot more smoothly than the $QYLE and the dollar risk is out

•

Epi@Epi

1Yr

@Dividendenopi CC ETFs are ideal for sideways markets. That's what the EU50 is known for. So it could be a perfect combination. 🤷

•

Dividendenopi👴@Dividendenopi

1Yr

@Epi we will find out

••

Epi@Epi

1Yr

@Dividendenopi The joke with something like this is usually: Once everyone has figured it out, the story is over...
I give it 3-5 years.

•

Dividendenopi👴@Dividendenopi

1Yr

@Epi that's why I started right at the beginning, and I agree with you, cc are not for people who are long-term oriented. Nice mix for regular returns and sideways markets and you should stop when it's at its best. The next few months will show whether I may have already missed the time at $QYLE. If the US market drops another 20 percent, then it was a bad investment. This also includes 🤷‍♂️

••

Epi@Epi

1Yr

@Dividendenopi Yes, you can see it very well in the current price performance of $QYLE vs $EQQQ.

••

S.A.U.@SAUgut777

1Yr

@Dividendenopi but complaining because I replaced it 🙂🙃🙂

•

Dividendenopi👴@Dividendenopi

1Yr

@SAUgut77 mimimimi 🤭😂😉

•

S.A.U.@SAUgut777

1Yr

@Dividendenopi 🚭 🤣

•

S.A.U.@SAUgut777

1Yr

Definitely on the watch list.

•

trump@trump

1Yr

😳

••

Novius@Novius

1Yr

Interesting, unfortunately not (yet) available at TR

••

Fred@Fred999

1Yr

But the payout is only 0.9%, so why is it better than the NASDAQ or S&P CC with 10-12%?

••

Dividendenopi👴@Dividendenopi

1Yr

@Fred999 that was the first monthly payout, if it goes through like that, then you will have your 10% and above all not the dollar against it

•

Peter@Beeferking76

1Yr

CC ATM caps the upside completely, downside you take everything with you, @Dividendenopi do you know how large the proportion of the ETF portfolio is to which the CC are written? If 100%, then price performance like $XYLD or $QYLD is to be expected
I am a fan of CC ETFs myself: $JEGP $JEPQ $SPYI $QQQI
GLTA

••