3Semana·

Depot brakes out

I am Team Dividend Strategy, but on closer inspection not with it !

The "premium" here is high, but the chart speaks for itself. Especially the US version, which has been around since 2013, the chart is more than frightening. Upsides are limited, but on the downside the CC ETFs take every correction and crash 100% with them and don't go back up because of the called options...in the long term they are just burning money.

TER should also not be ignored. Overall net return then of course also significantly lower.

#dividendenstrategie
#etfs
#fehlentscheidung
#passiveseinkommen
#dividends
#portfoliofeedback

$QYLE (-0,26 %)

04.08

Global X NASDAQ 100 Covered Call ETF

Vendido x1284 en 13,52 €

17.363,82 €

1,11 %

14 Comentarios

Banana M.@Banana_Millionaire

2Semana

That's why I always recommend the JPMorgan variant $JEPQ.
In addition to the lower TER, the advantage is that the CC strategy is only applied to 80% of the portfolio.
This protects the intrinsic value better.
In general, timing is also incredibly important here.
I deliberately waited for a correction of at least 10% and then got in slowly.
Personally, I would never buy a CC ETF at the ATH. Only during periods of weakness.
The performance, including the distribution, is on a par with my ACWI IMI.
So I can't complain.

I don't know whether the Global X variant differs in terms of tax, but the one from JPMorgan definitely has a 30% partial exemption. This is also clearly shown on their website.

•

Solitair@Solitair

2Semana

@Banana_Millionaire I have the global x and the distributions are always partially exempt.

•

Banana M.@Banana_Millionaire

2Semana

@Solitair I actually thought so too. Then this is definitely misinformation on the part of the author of the article.

••

Aurélie@LuxequityAurelie

2Semana

@Banana_Millionaire okey yes that's strong 👍 I've added it to the watchlist

•

Aurélie@LuxequityAurelie

2Semana

@Banana_Millionaire I was probably misinformed, I took out the info in the post

•

K@TechNav

3Semana

"... In the long term, it's just burning money" Hört Hört!

Unfortunately, many dividend investments only burn money. The only thing that helps is a backtest, which many don't do. Unfortunately...
$JEPQ $JEPI $JEGP $O etc...

•

Aurélie@LuxequityAurelie

3Semana

@TechNav yes, unfortunately you're absolutely right. i find it incredibly difficult to hold accumulating stocks, whether shares or ETFs, so i accept a few % less but constant dividends and then i hold them too

•

Wolf@Eurosammler

2Semana

@TechNav So the four dividend ETFs mentioned are part of this, i.e. would you not buy them?
Question from a beginner ;-), thank you.

••

K@TechNav

2Semana

@Eurosammler Yes, the 3 ETFs and 1 share do not beat the market, you make more money with an MSCI World and 1-2% yield dividend in 10 years.

•

Joris@JorisInvests

2Semana

@TechNav would be great to see the backtest. Now, with the graph, you only see the price evolution, so all the payed out dividends are neglected. And what if you keep investing monthly/weekly?? Jumping to conclusions is easy. I hold XYLF (CC on S&P500 from global X) and although it traded down, I'm well in the plus on it in total return.

••

K@TechNav

2Semana

@JorisInvests No No make the backtest yourself. Go to different site like seeking alpha or just etf and look at total return. this ETFs always underperform.

••

Joris@JorisInvests

2Semana

@TechNav I use GQ for the backtesting, it is a great app for that 👍🏻

••

K@TechNav

2Semana

@JorisInvests No its not...

••

S.A.U.@SAUgut77

3Semana

Take a look at <security:n/a:IE000MMRLY96>...is the only CC I know of that has fully recovered from the Trump dip in April and since then has simply continued to do what a CC should do 😉

•