6J·

What do you think?

I regularly (over)check whether my "plan" makes sense and like to listen to or read everything that comes to my attention regarding investing. Even completely different opinions or views, simply because I'm sure I don't know or can correctly assess every aspect.

Here is the actual topic:

$JEGP (-0,69 %) seems to be quite popular here and I asked myself or chatgpt whether this might not even be an alternative for me or the children's portfolio.

I was actually surprised by the answers, because I was also interested in the prices, dividends and TER.

Long-term returns

1- MSCI World between 6-9%

2- JEPI /JGPI should be 6-8%

3- QYLD between 5-7%

Risk (whatever that means)

1- medium

2- lower

3- low

Remarks

1-Strong performance in growth phases

2- stable, but with capped price potential, especially in growth phases

3- high payout, but hardly any growth

What do you think? Do you come to similar conclusions or is the AI telling me garbage here?

31 Commentaires

Snopy@Snopy

I think $JEGP is great if the aim is to receive high dividends. I am not a fan of these etf for a children's portfolio or long-term portfolio, as the upside is limited.

For a children's portfolio, I would generally only invest in accumulating etfs, as the child doesn't benefit from the dividends anyway.

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Nobody@Nobody_123

@Snopy So you see it more as an admixture.

I don't have any ETFs myself either, so I'm currently toying with the idea

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Snopy@Snopy

@Nobody_123 Yes, but not for a child custody account. In the worst-case scenario, you will lose an extremely high return.

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Inves.tier@investier

@Snopy I see it completely differently. If you give away the tax-free amount in your children's custody account because you invest in accumulation, it's your own fault. 🤣

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Snopy@Snopy

@investier I'm from Austria so I always ignore the tax-free amount 😂

Nevertheless, I would never choose an ETF that is capped by options. I'd rather choose one without options.

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Inves.tier@investier

@Snopy don't you have a tax-free allowance in Austria? 😳

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Snopy@Snopy

@investier nope 😢

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Rick0073@Rick0073

@Snopy Well. In Germany you have the option of a non-assessment certificate as long as a child does not exceed a certain income per year. With this non-assessment certificate from the tax office, you don't pay tax on dividends, gains from sales, interest, etc. So the argument is partly flawed. I've been doing this since my child was one year old and I make full use of it in the children's custody account. As I said. In Germany. However, I read very little about it here in the forum.

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Bullnbear@Bullnbear

Children's custody account Nasdaq 100 & Bitcoin per savings plan with us.

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Nobody@Nobody_123

@Bullnbear can be done, no question

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Epi@Epi

Yes, what would you say?
Go ahead with your own explanations and you'll get good answers.

But neither AI nor GQ can do your own thinking for you. 👍

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Nobody@Nobody_123

@Epi ah ok sorry

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John@Doe

Long-term return ? But then you can also list more here in the gq-Com, e.g. the $VUSA with 7-12%. If you are keen on the JEGP dividend, note that you also have to live with price losses. If you had entered in March, the dividends would have to come for 2 years if the share price does not move.

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Nobody@Nobody_123

@Doe I haven't noticed it yet, but it makes sense with the S&P. As long as the USA dominates, it will of course perform very well.

I was really interested in the dividend and was surprised that the MSCI World is doing so well despite the high dividends.

You're absolutely right, I'll compare everything again with more ETFs

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QUANTIJS@QUANTIJS

JGPI (not the same as JEPI, compare total return on portfoliolabs) has been doing worse than my REITs, so I got rid of it to keep things more simple between growth and low risk div stocks

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Revenant@Revenant3

For the kids I split into $TDIV , $VHYL and $VUSA. $TDIV performs best last 2 years.

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Luc700@Luc700

The difference is that $JEGP pursues a covered call strategy and $VHYL only tracks the index, for example.

Take a look at this:
https://www.justetf.com/de/academy/covered-call-etfs.html

My favorite is btw the $TDIV, for years a great return and lower USA share.

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Nobody@Nobody_123

@Luc700 Thank you! I'll have a look at it tonight at my leisure

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Yoshika 🦋.@Yoshika

I know fund managers with a worse overview.

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Nobody@Nobody_123

@Yoshika What do you mean?

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Yoshika 🦋.@Yoshika

@Nobody_123
Found the Chatgpt overview pretty solid. Return, risk, strategy ... fits so far.
Only the context "children's custody account" was a bit lost. The payout is less important than reinvestment and the compound interest effect over decades

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Yoshika 🦋.@Yoshika

@Yoshika
Children don't get dividends ... they grow.

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Nobody@Nobody_123

@Yoshika Oh... yes, but that wasn't my point either. Obviously I was unclear about my point.

I'm just so surprised that the "lame" MSCI is performing so well after all 😳

In the meantime, I've opened a fake portfolio and am running both, the difference of 1.5 years is about 20% price difference.

For me, that's already blowminding

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Yoshika 🦋.@Yoshika

@Nobody_123
...because JEPG has given up a lot through the covered calls, which the MSCI has taken in full through the tech rally.
And if one is still accumulating and the other is distributing monthly, the lines quickly diverge. One runs on price gains, the other sells itself in monthly portions. Then income very quickly becomes opportunity cost.

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Yoshika 🦋.@Yoshika

@Yoshika
And QYLD is the extreme among the covered call ETFs ..sells calls directly at the price every month and thus caps every rally right at the start.

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Yoshika 🦋.@Yoshika

@Yoshika
The small 2-3% difference in ChatGPT is based on total return with automatic reinvestment.
In real life, however, this rarely happens.
And if JEPG also sells every rally in advance, the substance falls by the wayside ... not on the chart, but in the portfolio.

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Yoshika 🦋.@Yoshika

@Yoshika
If you look at a distributor at JustETF, Onvista & Co., you usually only see the pure price development ... distributions are missing.

If you use data sources such as Morningstar, MSCI or ChatGPT, on the other hand, you usually get a total return chart. In other words, including automatically reinvested distributions.

What then looks like clean, steady growth is actually capital that has been recalculated, which you will never experience in real life because hardly anyone consistently reinvests in real life.

And certainly not tax-free.

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Nobody@Nobody_123

@Yoshika Thank you very much!
I am realizing more and more that my understanding of covered calls still has a lot of room for improvement...

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Yoshika 🦋.@Yoshika

@Nobody_123
For you with pleasure. You ask with curiosity ... enough to be happy to answer :)

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