JEPI

Fabulous-Transition7

That's a lot to keep up with. VGT or XLK would cover most of your positions in a single etf. GPIQ/GPIX is superior to JEPQ/JEPI. VTV, SCHD, or SPXT covers the blue chips.

Sufficient_Habit5091

JEPI sucks. It's just a higher expense ratio XYLD or QYLD but performs worse.

jetpilot6969

Yes it's called JEPI regard

Sufficient_Habit5091

TL;DR - put selling is a lot of work and headache only to lose money to more passive strats, not even including higher frictional costs to retail. Historically, buywrite and their mathematically equivalent selling put strategies tend to just lose to the underlying. Meaning if you had just bought and held you would just make more money. The reason is obvious, you're selling the upside while keeping all the downside. The compensation is comparable or sometimes better Sharpe ratios over entire market cycles. Interestingly though, IV has been high last 3 months without much volatility. So buywrite like XYLD, QYLD have won. I threw in JEPI which is a professionally managed active buywrite ETF: https://i.imgur.com/FiLmn56.png Any time frame longer than 6 months though it starts to lose again: https://i.imgur.com/YN2dtLO.png https://i.imgur.com/xyoG5oY.png

Sufficient_Habit5091

So for almost all of history, buywrite (and their mathematically equivalent selling put strategies) tend to just straight up lose to the underlying. For obvious reasons... you are selling the upside but have all the downside still. The compensation is over an entire market cycle you have higher Sharpe ratios typically. Also interestingly, IV continues to remain elevated recently without much actual volatility. Here's 3 month returns of buywrite vs. underlying on SPY and QQQ, I threw in JEPI as well which is a professional actively managed vol selling strat: https://i.imgur.com/uxqFg6q.png Everything else 6 month and longer it falters: https://i.imgur.com/uxqFg6q.png

Far-Performance2639

JEPI

Various_Couple_764

Return of capital concept is in many palace in the tax code often not labeled as Return of Capital. When you sell growth you are only taxed on the gains that occurred after you sold. Why? because a portion the income is return of capital. When you sell stock at a loss it is not taxed. Why? became it is all return of captial. Covered call ETF make money form selling covered call contracts. Now sometimes these contracts result in a loss. Good covered call fund seek to balance losses and returns so that you pay minimal taxes due to the balance of losses and gains. SPYI typically generates 95% ROC with the rest bing qualified dividneds. For a covered call fund like SPYI The return captial is subtracted form the cost basis of your shares. which is similar to how capital gains taxes work. If the cost basis is above zero you owe no taxes. Typically it taxes about 9 years for SPPYI cost basis to reach zero. Once the cost basis reaches zero you dividend are taxed at the long term capital gains tax rate. which means worst case only 20% of the income is considered taxable income which is a 80% discount from your work inimcoem Now many will mention 1256 contracts and 60/40 split of long term and shaort term captial gains. But this only apples to fund management not you the investor1256 is an internal part of how Neos handles covered calls but has no bearing on your taxes. Also not all covered call funds generate return of capital JEPQ and JEPI are popular CC funds. But the dividned is taxed as ordinary income. And others may generate ROC and ordinary income to determine how the income is taxed you need to review December 19A or 8937 forms which willl provide tax information. Also be away of funds like yield max that hav more losses than gains. This results in destructive ROC and NAV erosion. generally covered call fund with yields avboe 15% have NAV erosion but but funds with yields below 15% generally Have NAV growth which is good. All Neos funds like SPYI are good without NAV erosion.

citygeek

At some point you get enough assets in enough places that perhaps you don’t need to leave it that unproductive. If it were me….i might slowly DCA a portion of it into lower beta assets. Things that go up more than inflation, but are less volatile than the S&P 500. Things like: SCHD, DIVO, JEPI, JAAA, JBBB, CLOZ Note, these can still go down in value, albeit they are much less volatile than the general market and are otherwise “easy to hold.” I think it’s entirely reasonable to earn a blended return of 6-10% on this money without sweating too much. At some point the best defense is a good offense. I’d still always leave a small portion in something like SGOV

WillBellJr

NEVER trade with money you can't afford to lose! After 20-years my job gave me a 1-year severance in 2024, which I then focused heavily on up'ing my trading skills etc., so glad my brother-in-law had got me into trading in 2023! Ultimately I retired early not wanting to compete with other (now 20) to 40+ year old engineers that have been getting laid off as well. I was trading in the upper 60 to mid 70 percentile, as far as win / loss, nothing spectacular (aka worthy of a YouTube channel LOL!) Once I discovered the monthly return ETFs (QQQI, SPYI, JEPI and JEPQ), in my IRA, I went all in, and bless, they're paying my mortgage every month and other bills. I've also added some income ETFs now in my stock account to make cash when I'm not trading, I park those returns into SNSXX (avoiding state taxes) as emergency cash / dry powder for trading. Recently learning of OVI here on Reddit, I'm trying some of that too to see how that does... Good luck w/your investments!

D_Pablo67

The S&P 500 ETFs VOO, SPY and IVV are an easy way to invest on a schedule (dollar cost average) and make excellent long term returns. But you miss out on great stocks. Building a base of first $25k in VOO then looking at some great individual stocks is fine. I have mostly individual stocks, but still some VOO, QQQ, IJR, JEPQ and JEPI.

DoinIt4DaShorteez

yes, I was editing to say, if you can't make the nut with CDs and treasuries, I'd probably up the allocation to JEPI to get there. It's not risk-free but it's pretty price-stable.

Callabria

Could potentially consider increasing exposure in JEPI and gpix and reducing the CD accordingly

DoinIt4DaShorteez

I don't see any problem with that mix as far as safety. The GPIX position won't cause much volatility and JEPI isn't very volatile. But I'm not sure why you're asking, you must have done the calculations already. SPAXX, JEPI and GPIX get you almost halfway there. I don't know what you can get in a CD and/or a treasury ladder with the other $100k, but you must.

drazayn99

Might need to move all my money to JEPI, VDC, RSP and PFIX.

QuantGuru

If you are creating income portfolio then diversification is best, so have some in VOO / XEQT and QQQI, SPYI, JEPI, TSPY etc. If you are young and don’t need monthly income then just do index ETF.

Korvax

Here is a big one... Hi everyone, I'm trying to grow two accounts as much as possible. I don't have a taxable brokerage. I have a 401(k) in a target date fund which I contribute through my employer to get the full company match. I have a traditional IRA which I moved from one brokerage to Fidelity just so it's all under one roof. I'm not worried with the trad. IRA as I'm just letting it grow. The two accounts I want to build are my Roth IRA and my HSA. I have a Roth which I started with $600 about a year ago and haven't really touched. I have an old HSA that I **can't** contribute to because I'm not enrolled in a high-deductible health plan (HDHP). I would like to try to grow both as much as possible. SO... I am going to start maxing out the Roth (catch up on this year to the limit and continue to contribute throughout next year going forward) and just leave the HSA money to grow. Initially, I used Google AI (just the basic search AI, not Gemini) to help pick ETFs for each. It narrowed down about 60+ options that I was interested in to these: Roth IRA: SCHD 30%, DGRO 20%, JEPI 15%, JEPQ 15%, SCHY 10%, VNQ 10% HSA: SCHG 50%, SPMO 30%, VGT 10%, SOXX 10% I worked with the AI a little more and it advised that for tax efficiency / advantages, to SWITCH or flip flop the holdings between the accounts (sell the 6 positions in the Roth and purchase them in the HSA and vice versa). Now, they've been doing well as is. Would I be gaining anything tax advantage-wise by flipping the holdings, or should I just leave everything be? I'm pretty confident in the AI fund picks since they were just narrowed down from my own list (using metrics such as low expense ratios, low stock prices, good dividends, etc.), but I want to grow these accounts as much as possible, be as tax-advantaged as possible, in order to sit comfortably in retirement (year 2050). Thoughts? I'll answer any questions not addressed as I've already made this post pretty long.

VexxySmexxy

I think what I'm considering at the moment is having the inheritance be put into VTI/SPY/VT in the taxable, then reallocate the 401k into a BND adjacent fund to get something close to a 60/40 stock/bond split here. I did consider JEPI (similar to the top two funds you listed), but it seems like the simplest pllan here might be the VT/BND split.

KahlessAndMolor

I always think "If you dump that into JEPI you can get 8% cash", so like 1k a month forever....

Strange-Ingenuity420

Yes, very easily just live off dividends. Sell it and buy high yield low fee tickers ran by banks with a 1/5 of the liquidity. SCHB, VYM and JEPI are good ones. Buy SPY, VT and QQQ with 2/5 or 3/5 of the liquidity. TLT, GLD and SLV for hedging with the remaining amount. You’ll cover every market, have global coverage thru VT, have steady income thru high yield bank tickets and have good hedging. Wouldn’t recommend retiring and quitting, definitely continue working. But you’ll be set in a decade.

Kaa_The_Snake

I have about 30k, so about 5%, in TIPS and IBonds, adding about $1300/ mo in my 401k to TIPS (the other 1/2 to s&p for growth). This inflation is a real pain. I also have another 30k in JAAA , a tiny portion in JEPI, but the majority is all in VT and SCHD

D_Pablo67

Hold SPCX through 2030. My preferred covered call ETFs are JEPQ and JEPI.

jediDTX

I have JEPI and JEPQ at like 10% of my portfolio. Good income but not too outsized as you can miss out on upside with these products.

Nobody98_8

Why don’t put it into JEPI or something and live off Dividends?

prcullen1986

An 18 year old should not be stashing away funds in JEPI. That's terrible advice

PuzzleheadedCycle744

i have JEPI

SnooConfections5135

Stash this all in JEPQ or JEPI and reap a nice little 10% a year dividend return. DRIP everything you don’t need for taxes and by the time it’s time for retirement you my friend are pulling a nice little salary just by sitting on your ass

Agitated_Whereas7463

It was supposed to say JEPI. He's a mod in r/JEPI

MakingMoneyIsMe

With a huge investment, being aggressive isn't as important. JEPI would offer the stability one may desire.

jonoffin

JEPI is great but it only yields 8%....GPIQ is great but yields around 10.2%....JEPQ ranges between 10-12% yield.

greenpride32

Broadly I'd suggest you model out bear/average/bull cases for all your liquid assets (you can do more than just 3 cases such as -10 -20 -30 -40 for "bears") and use that to help determine what is the maximum nominal drawdown you'd accept on QQQ. Then you can liquidate an amount that makes this nominal drawdown amount improbable to impossible. The larger the weight of QQQ, the more impactful it is and vice versa. But truth is if QQQ crashes, everything goes down with it. Top 10 weights in SP500 and NAS100 are getting closer and closer to matching with each passing year. In other words, the most successful and profitable companies are concentrated in tech. NAS100 is no longer the risky index from 25 years ago, it drives the modern economy. I'm retried early as well. I still have individual stocks to liquidate, and pushing proceeds into VOO QQQM SMH SCHD VIG VYM JEPI QQQI. I have high conviction on the individual stocks so just converting when I feel it's advantageous to me. But it's your money, and if you feel like playing crystal ball with it is the best choice than by all means go for it. You're asking here because I'm assuming your fudiciary didn't suggest the panic sellout route.

greenpride32

AVGO and NVDA are a very outsized part of my portfolio due to their gains (over several years to decade adding). I am slowly liquiding portions when I feel it makes sense if from taxable account or just trying to cut at near term highs rather than at lower points in tax advantaged. I still believe both will continue to outpace the SP500 for years to come. But regardless of conviction, it's foolish to be too heavily concentrated because you could be wrong and anything can happen. But I still want exposure to semi - so my funds go to a mix of VOO QQQM SMH SCHD VIG VYM and a little bit to QQQI and JEPI.

acexprt

Some risky but high. MAIN, JEPI and JEPQ. Safe but low SGOV. Do some research into this.

DependentAnimator742

So many of you have told the OP to buy and hold, then sell sometime in the future, after appreciation. You're missing a key point: the OP is looking for some immediate or near-term income - there's a sh\*#load of frustration and impatience in that post. The other thing y'all aren't hearing is that the OP seems to be stuck in a 'no/low risk but high reward' mindset. The OP mentioned having a bond fund/funds. That tells me real risk aversion. So the OP needs to relax a little AND be rewarded with seeing tangible portfolio increases in the Roth, my guess within the next 6 mnth or a year, before he/she jumps off a cliff. I'm going to suggest baby steps for this OP. If it isn't like this already within the Roth, change it to: 1/4 Bond of something like SGOV, for security, 1/4 Growth like VOO (which will be realllllly tough for the OP to have faith in, this can take years in a flat market), 1/4 in a middle-of the road ETF like SCHD, and 1/4 in covered call ETFs, like QQQI and SPYI. << That last one is where the instant gratification is. Further, you all are wrong to say ETFs don't appreciate. I'm looking at my Schwab now and I have some covered call funds - SPYI, for example - that has a 38% appreciation in less than 2 years, PLUS the 10%+ yield. The worst performer I've had (which I sold a few years ago) was JEPI. I have ETV, which gives me a solid 7% yield with only 12% appreciation in 2 years, but I keep it because it is tax-advantageous, somthing the OP doesn't need to worry about. I also have GPIQ and NIHI, among others. I'm trying to post a screenshot of a partial view of my portfolio on here but I can't seem to do so. All in all, I don't believe that over the long term the OP needs a big covered call portfolio. But to kick start their psyche, yes, it's a good move.

PowerTowerPro

Look at JEPI and JEPQ.

WinstonSalemSmith

The following high dividend payers might work: SFL 8 pct, KHC 6.5, BIZD 13.5, JEPI 8, WEN 7. Or not.

be_easy_1602

And most importantly IMO is what the goal of the portfolio is: is it capital preservation? Is it for hedging equities? Is it maximizing yield? Is it hedging liabilities? Like if you’re just preserving capital or maxing yield, it’s “easy” to just stick the capital into a fund with that motif. But say you have future liabilities you’d want to duration match a custom portfolio. Sidenote: in a way it seems like bonds are antiquated in a way from an investment standpoint in the way OP seems to think about return, in comparison to something like JEPI or SPYI. That return income and equity exposure.

Buylowsellhigh10

You are doing the right things.  Keep saving and putting as much as possible into the Roth accounts.  Take advantage of any retirement plans offered through your employers especially if they have a match.  Paying off your mortgage or aggressively paying it down in my opinion is individual case by case scenario.  If you have a traditional mortgage with a low rate locked in especially something under 4% I wouldn't be aggressively paying it down.  I would make my regular payments, maybe paying it between two payments during the month depending on if it reamortizes when payments are made (that may save some interest over the life of the loan without needed to make large additional principle payments).  But once that money is used on towards the mortgage if you need to access it again you are taking it through something like a HELOC or cashout refinance for example.  If the rate is low and locked in why not invest those funds towards retirement or in a brokerage account (as long as you have proper emergency reserves in place)? I also am not a big fan if the JEPQ or JEPI in a taxable/brokerage account because the distributions are highly tax inefficient.  Not sure if most people using JEPQ or JEPI are aware that the distributions coming off of those ETF strategies are taxable at your ordinary income rates and not qualified dividend or any other more favorable rates that typically are used for dividends, interest, etc.  So its both tax inefficient and could potentially raise your overall tax bracket if you are near the upper threshold of you current bracket.  The ETFs with similar option overlay strategies from Eaton Vance and I believe Innovator ETFs may be worth looking at.  I believe both groups have the options overlays being managed by Parametric (which Eaton Vance bought and then Eaton Vance was bought by Morgan Stanley which is besides the point).  But my understanding is that Parametric is doing something different in how they manage the option overlays so that the distributions are taxed at qualified dividend rates and not as ordinary income which after taxes may be more appealing 15% cap gains/qualified dividend rates versus potentially 25%+ ordinary income rates could be significant.

morbidgames

There will always be ups and downs in the market. In the 80's inflation and 11% unemployment, then 90's we had the Gulf War, then 2001 the dot com bubble, 2007 the real estate recession, 2020 covid, now 2026 we have a war with Iran. Nothing ever really changes. You won't be eble to time the market, no one can. Also just because one market sector goes to shit doesn't mean they all do. At 20 you should invest your money in a ETF focused on high Growth, things like VGT/VOO, maybe even some industry specific ETFS like QTUM for quantum computing. You get 30+ years of watching the money go up and down but with compounding you're upward projectory can be meaningful. At 30-40 you may want to change things up, move from all growth potential to more steady so things like VTI and BBUS with a small allocation to VXUS (non US markets) as you want less risk, which also means less growth. At 50-60 you need to start thinking about consistent income and tax implecations instead of growth so you may start looking at things like JEPI/JEPQ, Bonds, Dividend focused ETFs like VYM/VIG. I don't know your Dad's age but what they do with their money needs to be different from what you do with your money.

ithinkitsahairball

If nothing else get into something like JEPI, JEPQ, SPYI, QQQI and start accumulating dividends while you wait.

siskyouthrowaway

My biggest worry is that one day QQQI (or JEPI or JEPQ or SPYI) will suddenly say: that's it, we're out of shares. So, no more dividends for you! 😃

Bubbleman54

If you're over 50, do you want income from it? Do you wanna make sure to preserve capital? If you want income the CSPs and CCs are still a strategy to do that, but an easier route would be to put some in income focused ETFs. QQQI, SPYI, JEPI, JEPQ, SCHD are some of the popular ones. I am not a financial planner, so you'd want to consult one probably. Im just a guy a couple years away from retirement who has been looking into some of this stuff and running different scenarios/strategies through spreadsheets. There are tax implications on some of these things that I dont fully understand yet so talk to somebody that knows what they are talking about. Some of the returns on income ETFs are considered qualified dividends, some arent, some are considered return of capital. Etc. Way too much to get into here, but if anything Im saying is completely foreign to you they are things to go do some research. Or just get a financial planner. Which is probably the best advice

TheObsidianHawk

Bought Rocket Lab a 7, traded it for JEPI for the drip.

Basic-Goat6329

So at 61 you're already heavy on income ETFs which makes sense. JEPQ, JEPI, QQQI, and SCHD all overlap a lot in what they're trying to do though — you're paying for four slightly different flavors of the same thing. On $3k I wouldn't add a new position. I'd top up whichever one you're most underweight in relative to where you want your income vs growth split. If you want more stability, SCHD. If you're okay with volatility for higher yield, JEPQ. Since it's a taxable account, keep in mind the dividend tax drag(something to think about) Canadian withholding on US ETFs in a non-registered account eats into your yield more than people realize.

Various_Couple_764

Your 61 the priority should long term inomce at the lowest taxes. invest the money in QQQI in the US QQQI generates ROC dividends and as a result the dividends will not be taxed until the share cost basis reaches zero. It will take about 7 years for the QQQI cost basis to reach zero. At that point the dividends are taxed as long term vcpatial gains. tax rate. VTI and VUG don't genrate any meaningfulll dividend income. JEPQ and JEPI generate high yield dividend income but they are taxed as ordinary income (the highest tax rate). My understanding canadian taxes are similar toUS. so I am assuming for you it is taxed the same way as in the US.

Margaritashoes

Pop that into JEPI, JEPQ and have monthly income. Or it’ll crash.

RemyVonLion

Dang you're lucky son, you can live anywhere that isn't crazy expensive then and not even work. I'm from California and I really miss it, but I wouldn't move back, at least to somewhere populated and thus expensive, unless I was making at least $100k/year, which you easily could. You just need to invest in enough dividend stocks/ETFs. Now obviously my favorite is CHPY, but I get downvoted every time I mention it, probably because people are scared of something too good to be true since the NAV keeps increasing while paying $.66 per share every week. So just to be safe you should diversify into other safe but high income ones like JEPI, JEPQ, QQQI, as well as safer ones like KBWY, DIV, SCHD, and VYM. After putting enough in those to get the desired income, the rest and future income can obviously can go into long term investments and options.

johnthewerewolf

SCHD and JEPI are both dividend-focused ETFs with a good return rate.

CollegeStudentTrades

I agree with the folks who are saying focus on a total index ETF, an income fund (JEPI), or a ETF/Bond mix. Take a look at what target date funds are doing in terms of allocations based on your target retirement date.

DoctorAssbutt

Daaaamn whatchu got, some QQQI, JEPI?

InspectorDabbit_

Go ahead, buy JEPI's NVDA calls

InspectorDabbit_

Because everyone is interested in stocks that can actually grow, NVDA a slow plodding mess right now But, hey, JEPI and JEPQ thank you for buying their covered calls

InspectorDabbit_

JEPI wants to thank all the wsb bulls for their contributions in what has been an absolutely stellar year for the fund

InspectorDabbit_

Buy more NVDA calls, boys, it could moon at any second - JEPI fund manager

InspectorDabbit_

JEPI wants you to buy another lotto "It could moon, bro, take the risk, fortune favors the bold"

InspectorDabbit_

JPMorgan loves NVDA, JEPI loves selling NVDA calls

Nim0y

I could live off that return. I’ve read about degens in r/dividends living off Spyi, JEPI, and the other covered call ETFs. Combo of that and bonds when they are this high. A man could dream

CD274

JEPI is such crap

Bio_Menace

Consider JEPI? 

EngineerDirector

$10M on $JEPI is \~$1M/yr bro

junbun2

oh i forgot, I owned a bit of JEPI ... It's tied to S&P500 but they sell options for income i think. last year i think the div were 8.5% . how do you think this compares to REIT? I saw O div was 5.5% which is good. seems like both of them have -alpha compared to s&p 500 last few years.

taxotere

This doesn’t apply to all countries. Some countries have zero capital gains taxes (eg Switzerland, Singapore come to mind), some have zero distribution taxes too (eg Greece where I’m from, from UCITS ETFs). Switzerland also only taxes dividends but not options premium, so only the dividends part of JEPI’s distributions are taxed, but option premium doesn’t. Also losses can’t be deducted in many countries (usually if losses are deductible then capital gains are also taxable). All in all I am simply challenging that CC ETFs are the devil. I don’t hold any, but long for the day I will ;) Peace

Spiritual_Bat7343

the JEPI/JEPQ critique people are giving you is half right and half lazy gatekeeping. half right because those funds don't really sell calls on the underlying basket, they use equity linked notes and the option overlay is closer to selling SPX index calls. that's why income is smoother but upside capture is less than rolling your own CCs on individual names. for limited capital, one to two CCs per month on a single high IV ticker you already hold can match JEPI/JEPQ yield with better tax treatment (LTCG on shares, STCG on premium vs ordinary income, plus you save the 35bps expense ratio). minimum around 2 to 3k per position. timing matters: track iv rank on names you'd be happy holding, the pattern that works is writing when iv rank above 50 and skipping below. been pulling iv rank on thetaedge alongside the underlying chart on tradingview. more work than buying JEPI but a real lever if you feel stuck.

Shadowrunner138

I was honestly thinking of going 50/50 with JEPI & JEPQ so I'm basically just following the S&P with a bit of overlap in the tech sector that seems advantageous for the next few years. If yields hold I'd average about 9% between the two of them and after about $20k cost basis I'd finally start generating over $100/mo and beyond in passive income to redistribute. At this point I really just need something more serious than corporate bonds and junk bonds in terms of percentages and I'm willing to upscale a little in terms of risks as long as a "hold or die" mentality can get me through a market correction that lasts a few years, I have bond funds growing for that.

apurimac777

in addition to what the other retards are saying \- bond prices are the inverse of their yield. Higher yields mean the price of the bonds goes down \- basically everyone owns treasuries, so them getting cheaper means more bag holding for everyone \- treasury rates underpin all the other interest rates you pay for, so if the government pays more for money, you pay more for money \- higher yields on safer assets like treasuries cause people to dump riskier assets like stocks and real estate - why sweat risking your ass a bit for an 8% return on JEPI when you can get 5% practically risk free from uncle sam. As long as your ahead of inflation your still making money with your money \- wrinkle brain forex shit my tiny ape brain no understand at all, me thinky higher rates make dollar more expensive but that bad for export bros

Ok-Blood4340

Specifically when it comes to covered call, return of capital, ETFs like JEPI, JEPQ, QQQI, SPYI, etc, you are not receiving a “dividend” from free cash flow, you are receiving the profits from selling the calls as a distribution or return or capital. This is a performance risk, or execution risk. Meaning, the active investors have to perform, execute correctly, and make the correct calls about market direction. If they mess up, and do not receive the expected income from the covered calls, the distribution will be cut. Only some 1-3% of the return of capital is actual dividend from free cash flow from the underlying companies. So this means, you are borrowing money, hoping the active investors don’t screw up, so you can have your capital returned to you. If they make a mistake, distribution is cut, margin doesn’t get paid back. Furthermore, when it comes to covered call ETFs, they are exposed to 100% of the downside, but cap the upside at some percentage out of the money. This means that in bull markets, the share price of the ETF does not go up as much as the underlying index (because they are selling covered calls to pay that return of capital distribution.) TLDR: Covered call ETFs are not free money hacks. If they were, everyone would do it. They are exposed to certain risks.

CraftyMeet4571

Congrats to you. I went full tilt at the right time. I sold off 1/4 of my position and bought about 1M in JEPI and JEPQ to lock in some gains. Gonna ride or die on my original gamble.

CraftyMeet4571

I turned 163k into 4M off a penny stock. I did sell a quarter of my position and bought JEPI and JEPQ. I'm still at the casino but I don't play with options.

HungerSTGF

Or put a mil into a market indexed covered call etf like JEPI/JEPQ designed for retirement income and have a solid monthly income from the dividends

InvestingNerd2020

If you sell, the tax hit is massive. 38% to 50% in California depending on long-term capital gains Federal taxes. Every other state, the tax only gets lower. However, you still walk away with over $2 million from selling the stocks alone in the worst-case scenario. Reinvest $1 million in VTI and $1 million into JEPI for covered call income at 8.41% paid out monthly. JEPI struggles to keep up with inflation, but it will pay the vacation bills comfortably.

Wickrest

I'm 26 I buy a mix of SPY, SPYI,SCHD,VXUS,VYMI and JEPI I just buy whatever's down, I never buy anything at its ATH. I've been buying JEPI only the past few weeks cause it's the only holding I have not near its ATH. I could buy spy yeah l, but I don't buy anything at its highest price it's ever been. That's just a me thing, I'd rather see spy go to 750 and drop down to 720 and buy rather than buy rn at 720.

Pendulumswingsfreely

JEPI or jepq?

Reasonablyaccurate

Does anyone have advise on going dividend accumulation vs index growth fund. Like SCHD is doing +3% and JEPI at 8% vs broad exposure voo, or spy, etc. I understand what they all are and how they work but long term can anyone in their 40s or 50s say they should have gone one way or the other? I get mathematically tech heavy index funds would have been the grand slam choice here but something about the cashflow certainly that could replace my lifestyle income in 15-20 years and have FIRE at 45-50 years old vs 50-60 years old just feels like a better bet with the way things are going… *the David Ramseys keep telling me to pay off the house with the 5.25 rate first though. $375k left. $800ARV. No other debt. I’m 31 with $200k in HYS/jepi shares /private placements. Thoughts? Thanks 🙏🏻

KemShafu

I took all my profits on Monday and am holding in SGOV until June and then reallocating in tranches starting in June. I am not timing the market, to be clear although it sounds like this. I follow Marc Chaikin and he forecasts a 65% chance of a bear market, he said it was going to happen in April and his timing might be off, but I do think we are headed into a bear market. As soon as we hit -10%, I am reallocating to SCHD, VYM, JEPI and VGSH. I don't trust anything right now.

National-Log5203

Yes, premiums can drop. I think looking at JEPI today might be somewhat of a relevant example of how S&P 500 would work in a low volatility scenario, as it already screens out everything volatile in its stock selection.

InvestingNerd2020

Only use JEPI if you have $2+ million in your IRA. Use $1+ million for a Total USA fund, and $1 million for JEPI.

D_Pablo67

JEPI has more value oriented stocks. JEPQ is more NASDAQ 100 and a higher yield, over 10%. I like them both and own both. You buy these for income and some appreciation, and less volatility than the index.

lightjon

JEPI is like holding SPY, except when the index goes up you lose the gains. If the index goes down, you keep the losses. (Used to hold JEPI)

CornerOne238

Sorry I meant partial conversion to JEPI/JEPQ or dividend stocks.

charliekunkel

I'm avout years out and my Roth is now all JEPI/Q, and 1/2 of my 401k is SPYI. That way if there's another recession coming, I'll be fine. The other half of my 401k and my personal brokerage is target date funds, VTI/VTSAX/VTWAX, and a few individual companies. I worked too hard for my money to put it in anything riskier than that just for the sake of greed. Will i miss out on some gains? Probably. Will i also not get set back from retirement by 10 years if theres a crash? Yup. Totally worth it IMO.

GiGiAGoGroove

Ok all - I came across an in-depth JEPI post in “dividends” forum about JEPI - their prospectus and hype seems a bit misleading. Thanks for all your insights. :D

Muy_Division

Should I max out my credit cards and buy all the JEPI and JEPQ I can get?

BeautifulAuthor9167

The best way to understand JEPI isn't just reading the prospectus, but seeing how peers manage the distributions. Learning how others balance the 0.35% expense ratio against the monthly yield helps demystify if it’s actually beating a simple index.

GiGiAGoGroove

Thank you for your response. I hear people lose money in it but I can’t really understand how as it seems rather stable unless of course they go all in. I avoid tech and defense for moral reasons and so there isn’t much left to choose from to “grow” our balance. JEPI would be the only active ETF we have which is another reason to have it with some push under it. Also looking at IDVO but not sure if that is similar or safer I will have to do more research.

GiGiAGoGroove

I can’t find any growth that isn’t purely tech or AI-do you know of any? I’m morally opposed to most of the tech broligarchs destroying our democracy with their surveillance, data centers and AI which may take my partner’s job away. Same goes for military and defense which is why I like more general ETFs and JEPI’s return looks juicy…what else could I choose? Also looking at IDVO but the expense seems high.

Good_Ride_2508

This is the best Answer. JEPI is inferior than VOO/SPY both ER and the Long term ROI. Same way, JEPQ is inferior than QQQ/QQQM both ER and the Long term ROI. JEPI/JEPQ is JP Morgan's marketing ETFs for wealthy people. JEPI/JEPQ looks like winning on concept, but both are not giving any benefit compared to VOO and QQQ. Better to stay invested in VOO or SPY or QQQ index ETFs.

ajaykumar2023

JEPI is a solid contender for an IRA when you're 5 years out from retirement, but it's important to understand exactly what you're buying. Here’s a breakdown for your situation: Income vs. Growth: JEPI is designed for income and lower volatility, not capital appreciation. It uses a covered call strategy (via ELNs). In a massive bull market, it will underperform the S&P 500, but in a sideways or slightly bearish market, it shines because of the monthly dividends. The Expense Ratio: At 0.35%, the expense ratio is actually very reasonable for an actively managed income fund. It won't 'eat up' your returns as long as you value the monthly cash flow and lower beta. The DRIP Strategy: Since you have 5 years left, DRIP-ing those monthly payouts is a great way to compound. By the time you retire, you’ll have a larger share count generating the 'supplemental income' you mentioned. Market Outlook: You're right that it's better in choppy markets. It won't protect you from a total market crash (it will still go down), but the volatility will likely be much lower than a pure equity fund. One tip: Since it's in an IRA, you don't have to worry about the tax drag on those monthly distributions, which makes JEPI even more attractive there compared to a taxable account. Overall, at 7%-12% of your portfolio, it sounds like a well-measured allocation for a 'sleep-well-at-night' income stream.

BrilliantArm5914

JP Morgan Chase has two ETFs JEPI and JEPQ that use this method of providing income.

jt1994863

Both have a lower overall return than the indexes they sell the covered calls on (SP500 for JEPI, Nasdaq100 for JEPQ) AND because it’s paid out in mostly in dividends rather than share price appreciation, it’s a forced taxable event if it’s not in a retirement account. It is not possible for them to exceed the returns of the underlying index. You are who the first comment calling out dividend seekers is referring to, because you fundamentally don’t understand the asset you are hyping up.

SNCOsmash

SCHD is also focused on growth (share price), which is has proven since its inception. Others like JEPI which has great monthly payouts, lack growth and eventually lag behind in the long run.

Long_Abrocoma_8480

Looks like you’ve got a solid mix with VOO and VXUS for broad exposure, and adding JEPI gives some income flavor. Since you’ve got bonds covered in the 403b, I wonder how you’re thinking about risk as you get closer to retirement—do you plan to tilt more conservative over the next decade?

Unusual-Fortune-7380

The percentage I hold in bonds and securities is used as security for unexpected expenses (housing, healthcare, etc.). The rest is in dividend ETFs. JEPQ JEPI and WINC are practically the only ones available in Europe. I'm aware of the risk of some NAV erosion. However, they seem fairly reliable, at least for now.

Unusual-Fortune-7380

Yes, I wrote that I also have JEPI and JEPQ.

SNCOsmash

JEPI for monthly payouts. Would give you about a good amount of money to spend or reinvest.

Sad_Gate_7099

Hello ! Alors oui, votre votre portefeuille est globalement solide et déjà assez prudent, surtout avec 50% en obligations / court terme. À 62 ans avec 2 000€ de revenu mensuel vous êtes dans une bonne situation ! Mon avis principal : simplifier un peu la partie actions. Plusieurs de vos ETF se recoupent (VHYL, TDIV, EUDV, VWRL, JEPI/JEPQ), trop de lignes ça complexifie le suivi sans vraiment améliorer les performances. Un ETF monde principal + une petite part income et vous allégez le reste. Sur les dividendes : ils apportent un confort psychologique réel mais sont souvent moins efficaces fiscalement que la croissance du capital selon votre pays de résidence. Une option intéressante : réinvestir une partie des dividendes dans un ETF global capitalisant tout en gardant une part distribution pour vos revenus mensuels. Pour le réinvestissement, je ferais simple : si les actions baissent → renforcer actions, si les obligations deviennent attractives → renforcer obligations, sinon → ETF monde diversifié. Et garder 1-2 ans de dépenses en liquidités c'est vraiment rassurant à la retraite, ça évite de vendre au mauvais moment. En résumé : bon portefeuille, mais je privilégierais plus de simplicité et d'optimisation fiscale plutôt que la recherche maximale de dividendes !

Thepandashirt

Bro you have $2M. Literally could drop all this in like JEPI and go fuck off to thailand or vietnam to live on a beach. You could afford like a hooker a week with that sort of money in SEA. But no, you have to go gamble on a garbage name in their main competitors app. This is peak WSB

Barbie_and_KenM

I had to pay 60k in taxes for last years gainz. Set it aside and put it in JEPI getting some dividends out of it for 4 months at least.

InvestingNerd2020

You are fine. At your age you have more than enough to retire in the stock market. Especially if you maxed out your Solo Roth 401k. You could put $100k into a dividend/covered call ETF to earn money from it. SCHD, DGRO, or JEPI. The latter (JEPI) doesn't keep up with inflation.

ImAnonymous135

JEPQ, JEPI, QQQI, SPYI you name it. But you will sacrifice the high yield for growth

Jebusfreek666

I like JEPI

breakyourteethnow

JPMorgan funds rely on equity linked notes ELNs which are typically taxed as ordinary income, GPIQ utilizes Section 1256 index options, which benefit from **6**0/40 rule (60% long-term and 40% short-term capital gains rates). Also, a massive portion of distributions over 90% is categorized as Return of Capital (ROC**)**. This doesn't just lower the tax, it defers it entirely by reducing cost basis rather than creating an immediate tax liability. You’re applying a tax drag argument to a fund specifically engineered to avoid it through Section 1256 contracts and ROC treatment. It's not like JEPQ/JEPI.