I would love to see the list of covered call ETFs that have successfully maintained long-term NAV growth. I am heavy into QQQI and XQQI, both of which have gained market value as well as paying very high dividends. Both are fairly new, and have never been exposed to a significant market downturn.
I'm not sure if that question was directed towards me or not, but if it was, these two etfs that I mentioned and several others that also pay high dividends are within a traditional IRA, which means that, no matter whether they are qualified dividends or not, anything that I withdraw will be treated as normal income. So I don't really worry about taxation at this point. I plan to more as much as feasible out of my traditional IRA into a Roth IRA over the next few years, and then I will start moving funds out of my wife's IRA into a Roth after that. No matter what, we are going to have several years of relatively high taxes after going the past five years paying zero taxes.
JEPQ might be another option
I would love to see the list of covered call ETFs that have successfully maintained long-term NAV growth. I am heavy into QQQI and XQQI, both of which have gained market value as well as paying very high dividends. Both are fairly new, and have never been exposed to a significant market downturn.
This 3 stock style example is good. Lots of folks can mimic and it has real world application.
Thanks
How do you offset the tax disadvantages of these funds since they pay distributions and not qualified dividends?
Do you put them in tax advantaged accounts like Roths?
I'm not sure if that question was directed towards me or not, but if it was, these two etfs that I mentioned and several others that also pay high dividends are within a traditional IRA, which means that, no matter whether they are qualified dividends or not, anything that I withdraw will be treated as normal income. So I don't really worry about taxation at this point. I plan to more as much as feasible out of my traditional IRA into a Roth IRA over the next few years, and then I will start moving funds out of my wife's IRA into a Roth after that. No matter what, we are going to have several years of relatively high taxes after going the past five years paying zero taxes.
I like your math