2D·

I know you think it sucks...

07.11
JPM Global Equity Premium ETF logo
Received x600 Dividends at $0.144
$86.28
11
19 Comments

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I don't have the JEGP, but - among other things - the JEPQ, but the comments that portray investors with a dividend strategy as stupid, clueless idiots are "shit" at best!
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@Reminder I also think the dividend strategy is good. Nevertheless, you can still write that the $JEGP has performed well behind the $TDIV with 27.8% or the $WINC with 21.3% over the last 20 months at 6.8%. Or you can write in a provocative style that it "sucks" because there are better things for many investors here.
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I used to have it too, but unfortunately the price losses bear no relation to the dividend.
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@Mechanikx don't see the companies in the Etf as being all that bad.
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@Mechanikx That's why I recently got rid of it and sold it.
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Better less dividend and more price gains with normal world etf's.
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It sucks
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Trick 17, invest directly in the reference ETF and pay yourself your desired dividend. Gives more return.
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With a dividend payout of 8.3% and a loss of 10.7% in one year, it's not exactly a winner.
I am also pursuing a dividend strategy, but I would also like to leave something to my children.
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@Thomas_1963 hm. If I go back 2 years I have a price minus of about 3% and then plus the distributions. 😁

I know that most people are allergic to the paper. That's why I posted it. Just to annoy you. 😉😅
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I'm also in with 200, it's not that bad in my opinion.
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It's not rice and it's not a dividend.
These are option premiums received or price opportunities sold, which are paid out again as dividends.
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@Yoshika
Covered call ETFs do provide cash flow, but only by cutting growth. This makes them the most inefficient tool for the same purpose compared to value ETFs or bonds. No matter which strategy you follow.
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@Yoshika
Strategically completely inefficient, because the risk remains full equity risk, you take every drawdown in full, but the recovery is cut off because the upside is sold via the calls.
And the cash flow from the option premiums hardly cushions this.
So you cut off growth about 80% of the time, only to get some payout via premium about 20% of the time. From an economic point of view, this is a brake on returns with equity risk.

Then you might as well go for value ETFs or bonds. Predictable cash flow, less risk, often better net return.
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I do a 50/50 combi with $WINC
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@Revenant3 I have that one as well - together with $TDIV
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Even if dividend strategies are less suitable for wealth accumulation, this vehicle is completely unsuitable. What is the point of dividends if the share price is completely lagging behind?
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I am somewhat disappointed with the share price performance to date. I would rather forego a 1-2% payout if it meant stronger share price growth. Perhaps JPM will make some adjustments here.
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I'm not really happy yet, but I'll complete my year of holding and then decide
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