JEPI

ThinkingOfTheOldDays

JEPI, little stud lately

Jealous_Educator_557

Just invest in covered call ETFs like JEPI JEPQ GPIQ etc…..the 400k you lost would have generated close to 40k/year

drazayn99

JEPI, VDC, PFIX and some RSP might do the trick I guess?

deadlyviperx

JEPI and JEPQ have 8% and 9% interest. 100k is 8-9k a year in dividends without trading

power_gas

You'll be alright. Flatten your time sensitive positions and step away. Your risk management sucks. Should revisit your methodology while youre still up overall. Harvest the losses for taxes. Park the money in something like JEPI or VOO. Then come back once you get out of your head.

Uzunzatu

Buy low and sell covered calls would be better than JEPI

ThinkingOfTheOldDays

humble little JEPI, a nice diversifier

Extension-Temporary4

bonds, bond funds, TIPS, USFR. Depending on risk tolerance, some high yield  funds like jepq, JEPI, sphy . . . Get an advisor. But a fixed income bond ladder is probably your safest bet — it won’t generate 5% but it will get you part of the way there. Mix in some dividends and diversity, you have a decent upside with a known/limited downside. 

ReBoomAutardationism

Fidelity account and yield whether that is SGOV or something like JEPI.

PizzaCatTacoUno

A few subtle methods … diversify, change from high growth stocks to value, allocate more bonds like investments into your portfolio (SGOV treasuries, JEPI… these are investments with lower beta, so if the stock market drops, these take less of a hit). I’m sure the $10M plus club do many other things as well, that I’m not aware of

EngineerDirector

$1M on $JEPI is $100k+ a year which is double of the median income in the U.S. Source I got my parent retirement in JEPI for many years now.

fakerfakefakerson

Ok so I just peeked at the fund, and I clearly shot off my prior comment too quickly. I had assumed that this was another JEPI/JEPQ clone (which are, in fact, dogshit), but looks like that was incorrect. Gonna delete the prior comment since I was speaking out of turn on this one. Do you happen to know what they’re doing under the hood? The description on their site isn’t super informative and haven’t had a chance to actually pull the deck.

apurimac777

JEPI bagholder here and I hate them too 🙋‍♂️

AFecklessWeasel

Why JEPI as opposed to SPYI or QQQI? Neos’ dividend payout as RoC is better for cap gains tax purposes, right?

PerilousPontificator

Some of these are good ETFs. I personally have QQQI and JEPI. BTCI is extremely volatile. Your biggest concern with these types of instruments should be NAV erosion, where you lose more of your underlying investment than what you receive in dividends. That’s what makes these types of investments riskier than say an index fund. I would avoid weekly call ETFs like GOOY for this reason. They have extremely high yield but tend to rob themselves of NAV in order to maintain their yield. As always, read the prospectus. This is not investment advice

EngineerDirector

$9M on $JEPI Yields a milly a year without touching the principal.

Elrondel

"quality stocks" with sub $1B market cap 😂 you're just gambling on penny stocks my dude. if you're just chasing dividends drop money in $JEPI on a down market and walk away

charliekunkel

Just buy a dividend ETF like JEPI/Q, SPYI, etc so that even if the market tanks, yours hopefully won't tank as much and you'll still make 8% in dividends

Ok-Impression-6381

Oh man, it’s definitely a hit.But, not the end of the road. One really can’t base the possibility of option trading, hedging, etc., on the trading mishaps of others. Maybe, consider a couple of funds mirroring the SPX, Nasdaq or Dow? Or, stable dividend equities, such as JEPI? My kid, 10, just voiced an interest in investing; so, we opened an account: I asked, “what are your favorite products and brands?! He responded and we purchased whole (and, some fractional) shares of those companies, mixed in with some equities to round out the portfolio. Essentially, starting small and smart is fine-& try not to beat yourself up, except to acknowledge any obvious mistakes and learn from them. You got this. Also, there are some good companies, such as SoFi that you can sell puts on repeatedly and, if assigned, sell calls against-you have enough $$ to do that and rebuild (maybe also, adding a manageable cash amount to your account monthly, too! This is not investing advice (G-d knows I’ve made many investment mistakes), Best to you

No_Feeling920

What about simply buying and holding JEPI instead? Saves you a lot of hassle and work.

ZTRADEZLLC

If you put it in JEPI and collected 100k a year will less downside risk for to the mechanics of the fund, yes.

GifThatKeepsOnGivin

Dump half into JEPI and collect 55k plus a year. Keep the remainder in SPY and use as needed. Enjoy retirement.

maui-shark-fighter

Yeah well I am an idiot cause I learned about covered calls same time I got in to PLTR. The premiums were addictive, I was rolling up and right to the point I wouldn't see the stocks for years. But when it broke 220 I was like Ok Im out regardless. Still did well but yeah. I do JEPI cause I dont want to hold AA lol.

sevseg_decoder

Agreed. I do quite well with them. I have some plays I sell them more regularly on than others, but part of the issue with the “covered calls destroy wealth” narrative is that it’s almost always founded solely on JEPI, which does not have the flexibility and agility selling covered calls on single stocks can have. When you’re selling the same calls against Walmart or UNP that you’re selling against Nvidia and Google, or even calls on the same formula of Greek letters, you’re getting fucked for sure. When you focus on premiums above all else and sell high delta calls, yeah you’re gonna get fucked.  When you have active value and momentum plays with solid fundamentals, with an exit strategy formulated, and strategically sell calls at even close to the right balance of premiums vs gains potential they can beat the market handily and beat the underlying stocks.

ThinkingOfTheOldDays

JEPI, my bond allocation replacement, is booming. it's good to be king

FewEcho7739

In my brokerage account I would say NLR, SMH, and Coreweave. My Roth in a brokerage has WELL, JEPI, and JEPQ.

SnooConfections5135

SCHD is built to appreciate as well tho, shooting for annual returns similar to S&P with combination dividend/APP., whereas SGOV will not appreciate in value overtime. Similarily JEPI & JEPQ pay a roughly 7-12% div. With a mixed bag of equites also shooting for S&P style returns. I’m a big income generation guy so anyone who wants shoot me a DM and I’ll screenshot my portfolio of dividend ETFs for ya.

Comfortable-Bug-5070

Around 13-14%, but majority of my port is JEPI which doesn’t move but pays a nice monthly dividend

Latter_Broccoli_4956

I’m a conservative investor. My core portfolio is 40% SGOV and 40% JEPI. I also have 5% in FFDIX and 15% in BIL. BIL functions as my cash reserve if markets are down at the end of the month, I use it to top off JEPI and FFDIX back to their starting dollar amounts. Overall, it works well. Performance is similar to a high-yield savings account, roughly around 6%. Not very exciting and that’s exactly how I like it. Recently, I’ve been dabbling in penny stocks and small caps for day trading. Nothing crazy, about $200. Last month, though, I turned that $200 into $700, so I moved the extra $500 into FFDIX. As someone commented in this thread, I can only imagine the anxiety of trading with much larger amounts. I honestly don’t think I could handle it 😂 but at a small scale, I am having fun. I came across this thread and decided to join Reddit. I don’t have any other social media accounts. Looking forward to having some fun here and maybe even breaking even on those “fun” trades.

Born-Explanation-558

Great choices! JEPI and XYLD are solid options for income, and SCCO has good potential too. Looking forward to seeing how they perform for you!

Popular-Capital6330

Your thinking aligns with mine. bought JEPI,XYLD, and a bit of SOCC. Thank you for your thoughtful response.

thinkneo

Honest truth: >5% yield + growth + doesn't devalue is the trifecta everyone wants but rarely exists, usually you pick 2 of 3, that said, here are realistic options for $1000: Covered call ETFs (my pick for your criteria): \- JEPI - \~7-8% yield, holds large cap stocks, sells covered calls for income, some growth potential but capped upside, very popular with retirees. \- JEPQ - same strategy but tech-focused, higher yield (\~9-10%), more volatile. these give you income + some growth exposure without picking individual stocks. Dividend growth (lower yield but better growth): \- SCHD - only \~3.5% yield BUT the dividend grows 10%+ annually. In 5-7 years you're effectively getting 5%+ on your original investment, better total return over time. Higher yield options (more risk): \- ARCC or MAIN (BDCs) - 8-10% yields, invest in middle-market companies, more volatile. \- ENB (Enbridge) - \~6.5% yield, pipeline company, slow grower but stable dividend. What I'd actually do with $1000: Keep it simple, one holding. \- if you need income NOW: JEPI \- if you can wait for income to grow: SCHD Don't split $1000 into 5 positions - you'll pay more in friction and complexity than it's worth. One warning: anything yielding >7-8% usually has a catch - either growth is flat, risk is higher, or the dividend isn't sustainable. If it sounds too good to be true, it probably is.

Popular-Capital6330

This sub doesn't allow edits?? I ended up buying: XYLD SCCO JEPI in case anyone wants to comment on my choices.

GioDesa

JEPI / SCHD are not bond funds. Lol

RickLeeTaker

I'm totally out of Yieldmax now after dropping HOOY the second week in December, which was the last one I held. They should be called yield trap funds. I now have it all in JEPI, JEPQ, SPYI and QQQI. Smaller divies and some small growth in price too. Good luck to you in coming back.

SISU-MO

All the above. Check out; BND, JEPI, BAGIX, SCHD, etc

avatarfire

I’m still confused how JEPI and JEPQ get their yield besides investing in dividend payers and using ELNs

Background_Tax4626

What's wrong with ETFs that sell covered calls? JEPQ, JEPI, XYLD may limit your upside growth, but they thrive in sideways market .

BobtheChemist

There are ETFs that attempt to generate income from options trading. They are run by professionals that do only that, so perhaps that may be a place to start while learning more. Examples are JEPI, JEPQ, XYLD, QYLD, DIVO, SPYI, and more, most own shares of the underlying index funds and sell options on them to generate yields higher than the index provides. Options trading requires time and research to work well, and limits the capital gains on the underlying funds in return for more monthly income. I would also consider just moving more assets to equities if you are 10 years away from retiring. But that depends on your goals and plans.

Comfortable-Entry341

I just came back today to your profile as i have started investing with leverage a few months ago. I started with box spreads like you did, investing in JEPI for covering the interest on borrowed cash and in SP500 ETF. Now I'm digging into futures to increase my capital efficiency. I will probably sell my SPY ETF and replicate the notional exposure with MES contracts, so I cancel the credit, keep JEPI and avoid paying interests. In parallel, I have developed a futures scanner that forecasts long or short positions among 60+ instruments. So now im mixing all up and trying to structure a robust portfolio to use as margin for my futures strategy. But of course, a sharpe drop is the biggest fear of a levered trader I remember back then you mentioned something like keeping always the relation 1-1, that meaning that if you have losses and the proportion becomes 0.8 own money : 1.2 debt, sell some positions to make it 1:1 again. Is that still your golden rule? how do you handle it in huge sellofs and gap downs like in April 2025?

NavalBAP

Schd 50%, JEPI 30%, VXUS the rest

3putt-king

Buy JEPI and stop torturing yourself. Taxes suck on option writing

ServerTechie

Value index gains as folks run from big tech, resulting in a stagnant S&P. VTV looking like a good ETF right now. I can see JEPI and/or JEPQ selling more shares, folks looking for gains via monthly dividends. EX-US may see continued growth, particularly foreign value. FIVA may do well.

Ok_Guidance4571

I have about 40k in roth with VOO(50%)/VGT(15%)/SCHD(15%)/JEPI(15%)/ and ULTY(5%) This account is more for growing to a decent size so I can start spending the money.

extremelyannoyedguy

Like with NUSI. The protective put helped me sleep at night, but I think it was only used twice the entire time I held it. My gains would have been >50% greater had I just held JEPI.

ThinkingOfTheOldDays

gold, JEPI as a bond / income surrogate, small cap index & space stocks value names are going to do well, but it's hard to trust imo

Busters_Missing_Hand

For evidence of this, OP can look at an ETF like JEPI that operates very similarly to covered call writing. JEPI generally underperforms the S&P.

apurimac777

Ok thats it. Fuck this range bound shit. Sold the calls I've been holding since before the holiday for 46% loss Took my remaining gambling money put it all in JEPI Good luck retards

ServerTechie

JEPI might be a good investment choice for him. High yield and low volatility. It won’t help with long term growth, but aggressive investing in his 60s could make you both uncomfortable. There are some low volatility equity ETFs out there that might interest you like SPLV, USMV, VFMV, but all of them still had significant drawdowns in 2020 and 2022 like everything else. Another option might be defensive ETFs, but don’t expect S&P level performance: XLU, VDC, XLV, SPHD. I sympathize, my father never invested in the market either. He had a good run living off his own parents until they died and he inherited a fortune in assets, but given his nature he blew thru millions in only a few short years. Now any bills not covered by social security fall to my sister or me. 😡

JayC774

I’ve thought about those…but the expense ratio cost can add up pretty quick….so far I’ve been able to return a bit more in yield than funds like JEPI but with a lower overall cost

JJdante

Can someone less regarded than I explain why buying something like JEPQ/JEPI with margin and banking the difference is a bad idea?

JerryFletcher70

There are a lot of people doing it the easy way, which is to buy into a covered call income ETF like SPYI or JEPI that converts monthly premium into a dividend. Has a similar risk profile to options but with diversification and a professional company managing the specific positions. Doing it yourself means a lot of stress and taking some painful losses, while the CC ETF’s are set and forget. You won’t get full upside and are susceptible to asset devaluation, but that is true to a much greater extent if you try to DIY options as a beginner with limited capital. The theory of allocating a portion of your portfolio to premium generation is exactly what those funds allow. DIY options trading for income is more about entertainment value for a lot of people. They enjoy the stock picking and managing of positions. And you mentioned taxes. Some of the covered call funds are able to offer tax advantaged dividends, so that too makes them more efficient than all the short term gains of DIY options. I used to do a lot with options, and still do a little, but I have started shifting more of that capital to these types of funds. Still riskier than traditional funds, but they offer a monthly cash flow with less volatility if that’s what you are after.

Dvorak_Pharmacology

Hmm, I see JEPI pretty much follows the market... I am looking for something that when the market goes down, it goes up

truedog1528

Focus on total return and set hard rules so a few high-yield names can’t wreck your principal. What helped me after a big drawdown: cap any single risky dividend name to 2–3% and the whole “yield” sleeve to \~10–15%. Use clear sell triggers: dividend cut, FCF payout >85–90%, net debt/EBITDA creeping past \~3–4, or interest coverage slipping below \~3. Track IRR, not just dividends; if total return lags T‑bills for 4–6 quarters, rotate. For steadier income, I keep a core in SCHD/JEPI and park near-term cash in T‑bills or short-term Treasuries. If your loan rate is high, paying it down is a near risk-free return; I’d prioritize that over adding more high-risk yield. If taxable, harvest the loss to offset gains and up to $3k ordinary income. I screen in Koyfin, sanity‑check payout risk with Simply Safe Dividends, and use Ask Edgar to quickly pull debt terms and red flags from filings and transcripts. Bottom line: judge by total return and enforce risk limits, not headline yield.

Objective_Stock_3866

Shoulda probably said JEPI. Its a high return dividend etf based of the S&P. JEPQ is based off the nasdaq and has a higher return but its all over the fucking place.

TradeVue

Selling puts is just a bullish income play most institutions are net long equities anyway, so they sell puts under their holdings to cut cost basis or juice yield. All the big covered call ETFs (JEPI, QYLD, etc.) sell puts constantly.Berkshire still has billions in index puts on the books. Put write funds,risk parity, reinsurers, pensions all run systematic put selling programs. Market makers sell them all day.

SuperannuationLawyer

JEPI

D_Pablo67

JEPI and JEPQ are both covered call ETFs from JPMorgan that pay high monthly dividends and track the S&P 500 and NASDAQ 100 respectively. My four top dividend payers are: Realty Income (O), a REIT that pays interest income monthly and a Dividend Aristocrat. Federal Realty Investment Trust (FRT), a REIT that pays interest income quarterly and is a Dividend Aristocrat. Enterprise Products (EPD), a pipeline MLP that pays a quarterly dividend taxed as ordinary income and is a Dividend Aristocrat. Energy Transfer (ET), a pipeline MLP that pays a quarterly dividend taxed as ordinary income. If you buy all of these you will have a balanced portfolio with growth potential and good monthly income.

db_deuce

I sell covered calls and cash secured puts for income (300-500 option contracts a month). The truth is it is very time consuming and a lot of effort to do well and I can do this because I don't care about my career anymore. Not something that makes sense in the middle of your career and your balance is way too small to make an impact. The shortcut way is to buy a covered call ETF like QQQI or JEPI, JEPQ. It's the same thing with less time commitment. There is a lot of income leakage as trading options is really easy money.

Dr_Porknbeef

https://www.reddit.com/r/dividends/s/YD3PXPt7XL I'd add some layers to the overall strategy and split 90% into all three big firm CCs. GPIX/GPIQ (my favorites), JEPI/JEPQ and as you mentioned SPYI/QQQI. The NEOS funds have the highest yield and supposed best tax efficiency. The JP funds are more defensive in nature and will outperform in flat or slightly negative markets. The Goldman funds have the most capital appreciation while still delivering high yield. At the institutional level, there is the most trust (institutional ownership) in the JP funds, followed by Goldman funds and then very low ownership for NEOS funds. All three utilize similar but different strategies, plus they still have to execute on their strategies and some months, different firms will perform better. With all three you get increased diversification and variance in returns. You also get three pay dates per month. The remaining 10% into DIVO and IDVO, 30/70 split with IDVO being the higher allocation. Similar strategies to the big firm CC funds, but long track records and lower yield with emphasis of capital appreciation over time. Very high institutional ownership (>50%). Additional security in returns/distributions, one more payday per month and added international allocation. Then using the distributions, reinvest some back into each fund and use the rest for w.e. Id personally juice up the amplify funds with my big CC fund's distributions (doing that now). Also check out QDVO. Good luck 👍🏻

Historical_Low4458

You should flip your allocations and probably re-invest the JEPI dividends into VTI.

Whole_Avocado5867

Remember the yearly contributions limits. In my opinion, drop JEPI and QQQ and put it into FXAIX and VTIAX evenly as you can easily change it in a Roth when you need income (QQQ is just nonsensical). Also, unless for some odd reason you have 2 separate roths, you may be charged to buy mutual funds from other brokerages so if with Fidelity, I’d get FTIHX for intl.

unchainedpride

JEPI is interesting but SCHD may be better for me to invest in since I am only 27 right now. Long term SCHD would be the better play.

Complex-Jello-2031

i would look into a nice income ETF as well I love JEPQ or JEPI

Esoteric_Innovations

VTI is where I'll go once I reach my investment goals and have north of a million one day. Has an average annual return of around 8-11% over more than forty years. 3% Rule is essentially if you can live off of 3% or less of your total accumulated assets per year, then you can basically make it last forever since the average annual return on the stock market index funds is around 4% (i.e. your returns would almost always exceed your annual expenses) With VTI's average annual return, you'd have even more breathing room. Only other one that has my interest at this point in time is JEPI, but I'm much more comfortable with VTI.

misscarlasue

I’m 67 and recently retired in Texas. 30+years in public education. I’m looking for passive income through dividends. I’m currently looking for a new job so I can aggressively add to my portfolio and pay off my house. Right now I’m invested in KO, PG, MO, and KMI for growth and ETFs O, SCHD, JEPI, SPYI, ULTY, and QYLD. I literally just started in September and have gotten almost $40 in dividends to reinvest so far. I have a long way to go but I hope I’m on the right path. Any suggestions, critiques, comments, or anything else is welcomed!

misscarlasue

I may have to check some of those out. I just started a portfolio for dividends because I want to be prepared to replace social security if needed. I have SCHD; SPYI; JEPI; O; ULTY; plus KO, MO, PG for growth. Only have a few thousand in since September but so far I’ve reinvested around $40 lol. So I guess off to a good start.

EffectivePoet4572

value stock crew report in. VTV, JEPI

Digital-Doc-777

Combination of funds that pay dividends. Look at VYM, VIG, SCHD, and JEPI.

Digital-Doc-777

A dividend ETF such as VYM that pays quarterly, or JEPI that pays monthly.

mvhanson

You might consider a bit of DIY dividend portfolio investing, though that takes a bit of homework and is something of a project. But basically, long-term diversification is all... [https://www.reddit.com/r/dividendfarmer/comments/1hofu1z/building\_a\_dividend\_portfolio\_and\_the\_rule\_of/](https://www.reddit.com/r/dividendfarmer/comments/1hofu1z/building_a_dividend_portfolio_and_the_rule_of/) One way to think about it is "Moneyball for Dividends." While the big funds (SCHD, JEPI, JEPQ, and others) are absolutely the right fit for a lot of people (set it and forget it), [https://www.reddit.com/r/dividendfarmer/comments/1omobcw/big\_dogs\_part\_ii\_an\_analysis\_of\_the\_top\_25/](https://www.reddit.com/r/dividendfarmer/comments/1omobcw/big_dogs_part_ii_an_analysis_of_the_top_25/) it's also kind of fun to put together your own team. [https://www.reddit.com/r/dividendfarmer/comments/1nnwbj8/moneyball\_for\_dividends\_a\_way\_to\_think\_about/](https://www.reddit.com/r/dividendfarmer/comments/1nnwbj8/moneyball_for_dividends_a_way_to_think_about/) You might try some YieldMax for fun (people say bad things about YM, but some of their products actually have held water pretty well). Here's a breakdown of everything YieldMax offers in terms of yield + capital gain: [https://www.reddit.com/r/dividendfarmer/comments/1olgg01/yieldmax\_yield\_capital\_gain\_analysis\_10312025\_is/](https://www.reddit.com/r/dividendfarmer/comments/1olgg01/yieldmax_yield_capital_gain_analysis_10312025_is/) And if you want weekly payers (though it's behind a paywall): [https://www.reddit.com/r/dividendfarmer/comments/1oixurn/weekly\_payers\_yield\_capital\_gain\_analysis/](https://www.reddit.com/r/dividendfarmer/comments/1oixurn/weekly_payers_yield_capital_gain_analysis/)

Striking-Block5985

Yes it's called buy the JEPI etf , very conservative and invested in such a way as to minimize volatility (risk) and provide income

FatBastardsHungry

Thoughts on JEPI? Can’t believe after years of day trading never discovered. It’s for old people and boomers but at 8 percent dividends, that’s insane

EarthquakeCrater

Guys why do always buy into to top of the echo chamber crap: Fell for SCHD, then JEPI, now BMNR. Every single time.

mvhanson

You might consider a bit of DIY dividend portfolio investing (if you are looking to diversify a bit), though that takes a bit of homework and is something of a project. But basically, long-term diversification is all... [https://www.reddit.com/r/dividendfarmer/comments/1hofu1z/building\_a\_dividend\_portfolio\_and\_the\_rule\_of/](https://www.reddit.com/r/dividendfarmer/comments/1hofu1z/building_a_dividend_portfolio_and_the_rule_of/) One way to think about it is "Moneyball for Dividends." While the big funds (SCHD, JEPI, JEPQ, and others) are absolutely the right fit for a lot of people (set it and forget it), it's also kind of fun to put together your own team. [https://www.reddit.com/r/dividendfarmer/comments/1nnwbj8/moneyball\_for\_dividends\_a\_way\_to\_think\_about/](https://www.reddit.com/r/dividendfarmer/comments/1nnwbj8/moneyball_for_dividends_a_way_to_think_about/) You might try some YieldMax for fun (people say bad things about YM, but some of their products actually have held water pretty well). Here's a breakdown of everything YieldMax offers in terms of yield + capital gain: [https://www.reddit.com/r/dividendfarmer/comments/1ofjkzn/yieldmax\_yield\_capital\_gain\_analysis\_10242025\_is/](https://www.reddit.com/r/dividendfarmer/comments/1ofjkzn/yieldmax_yield_capital_gain_analysis_10242025_is/) And if you want weekly payers (though it's behind a paywall): [https://www.reddit.com/r/dividendfarmer/comments/1oixurn/weekly\_payers\_yield\_capital\_gain\_analysis/](https://www.reddit.com/r/dividendfarmer/comments/1oixurn/weekly_payers_yield_capital_gain_analysis/)

AffectionateLeek5854

Ben Felix released a video yesterday debunking the myths around covered calls ETFs like JEPI Would highly recommend to watch that . https://youtu.be/K3sYY3T7V8k?si=PeMCfoHqnNVSrFv6

erichang

you don't need to sell covered call. Just buy JEPI. This will save you time and energy.

YuckyBurps

So how then do funds like JEPI hold their NAV flat? Do they just withhold distributing some of their premium income so that the times they do make money there is still something left to purchase additional shares with?

YuckyBurps

I guess on a fundamental level what I’m not understanding is that if you sell a covered call and that option gets exercised you’re selling off the security you wrote the call against. The only way to write another call option would be to buy the security again - a security that is now worth more than what you just sold it for. How can that be sustainable? Surely the value of the fund will diminish over time. Yet for some funds like JEPI the NAV has remained flat or even grown. That seems counter intuitive to me.

CmdrChesticle

JEPI in particular is a lot less reliant on covered calls than some of the others - but yes, if your investors are expecting a distribution every month that is higher than the total return, NAV erodes.

rbetterkids

Maybe try JEPI to collect the monthly dividends? Then buy 100 or 1,000 shares? It's an index fund, so less risks.

Senior-Preference678

VOO and chill works if your only risk is market volatility, but not if the risk is political or currency instability. VOO = 100% U.S. large caps, so you’re fully tied to the U.S. economy and the dollar. If you actually want political-risk protection, diversification matters: - VOO (40%): U.S. growth core - VXUS (20%): global exposure outside the U.S. - GLDM / IAU (15%) – gold hedge - BIL / SHV (10%) – cash & liquidity - STIP / TIP (10%) – inflation-protected bonds - SCHD / JEPI (5%) – dividend income buffer That mix keeps upside exposure but cushions geopolitical shocks. Not financial advice, just risk management 101.

Senior-Preference678

VT is definitely a solid one ETF solution, globally diversified, 60% US and 40% international, covers nearly 9,000 stocks, and yields around 2%. But for real political-risk protection, it’s still 100% equity exposure. If the goal is to hedge instability, I’d still mix VT with: GLDM or IAU: inflation & crisis hedge BIL or SHV: cash-like stability STIP or TIP: inflation-protected bonds SCHD or JEPI: dividend income & lower volatility So maybe 60% VT + 40% hedges for a balance between growth and protection. Not financial advice, just fundamentals talking.

nobertan

There’s funds that do this, like JEPI and JEPQ. There returns are rubbish (7-9% annually from CC premiums) for the risks they’re taking (massively lagging the funds they’re tracking).

Etchasketch55

I've been with SCHD for a few years and recently added some JEPI to the mix. SCHD gives me steady growth while JEPI kicks out higher monthly income. Had to start with about $500K to hit close to your target. Not gonna lie, building that nest egg took me a decade of aggressive saving, but now it's pretty sweet watching the dividends roll in without touching the principal. Don't sleep on JEPI if you want that monthly payout.

Impressive-Bee-5183

Congrats on reaching that point. Here's what the data actually shows about making a living selling options: I've researched this extensively because I considered the same path. The reality is both more promising and more dangerous than most realize. The Good News (The Edge is Real) The statistical advantage for option sellers absolutely exists: * 60-80% win rates are consistently documented across academic studies * CBOE PutWrite Index: 10.32% annual returns from 1986-2018 vs 8.77% for S&P 500, with 36% less volatility * Options Industry Council 15-year study: sellers averaged 8.27% annual returns while buyers lost 5.39% * Implied volatility exceeds realized volatility 85% of the time (AQR Capital research) * 2024 Boston College study of 2.4M retail trades: naked option selling earned 20% average returns So yes, the math works. The volatility risk premium is real and harvestable. The Brutal Reality (Why Most Fail) Here's where it gets darker: Capital Requirements Are Massive To generate $5,000/month income reliably: * Covered calls/cash-secured puts: $200,000-$300,000 (2-3% monthly target) * Credit spreads: $50,000-$100,000 (more capital efficient but active) * Iron condors: $75,000-$150,000 (10-20% on deployed capital) * PLUS you need 30-40% extra cash reserves for volatility spikes Below $50k account size, this strategy is barely viable due to position sizing constraints and fee drag. The Catastrophic Failure List * James Cordier (OptionSellers.com, 2018): $150M fund blown up in 2 weeks. Clients lost 100% + owed more. Natural gas spike, naked calls, 20-40x overleveraged * Karen "Supertrader" (2016): $136M fund, $57M unrealized losses hidden through rolling scheme. SEC fraud charges, $1.5M fine, permanent ban * 1987 Black Monday: Harry Fluke lost life savings + owed $513,000 from selling "safe" naked puts for $500 premiums. Professional trader lost $52M in one day * March 2020: Countless traders reported "losing double what the market lost" as VIX hit 82.69 The quote "picking up pennies in front of a steamroller" exists for a reason. What Separates Survivors from Casualties Position Sizing is Everything * 2-5% risk per trade maximum (Cordier had 20-40x this) * Use only 25-30% of available buying power (NOT 70-80%) * Multiple uncorrelated positions, never concentrated Defined Risk is Non-Negotiable for Retail * Credit spreads and iron condors survived March 2020 with 20% drawdowns * Naked options/strangles wiped accounts via margin calls * Yes, you collect less premium. But you survive Professional Risk Management * Enter at 45 DTE (optimal theta) * Close at 50% max profit (dramatically improves win rates) * Exit at 21 DTE regardless (avoid gamma risk) * Stop loss at 200% of credit for undefined risk * Portfolio margin only if you have 2-3x minimum requirements in reserves Early Retirement Now survived both Oct 2018 and March 2020 crashes using these rules. The OptionSellers clients using similar strikes but without proper sizing/risk management lost everything. The Tax and Time Reality Check Tax Treatment Destroys Returns * Short-term options = ordinary income rates (up to 37%) * 12% gross return → 8.16% after-tax at 32% bracket * SPX/NDX/RUT options get 60/40 treatment (max 28% rate) - substantially better * Stock options + wash sale rules = tax nightmare for active rollers This Isn't Passive Income * Covered calls: 20-30 min weekly * Iron condors/strangles: 30-60 min daily + hours during volatility * Learning curve: 100+ hours before you're competent * Compare to dividend stocks: 5-10 min quarterly Realistic Net Returns * Conservative defined-risk: 8-12% gross → 5-8% after-tax (high bracket) * With 2x portfolio margin: 16-24% gross → 11-16% after-tax * Expected drawdowns: 15-25% during crises * One bad volatility regime can erase years of gains How It Compares to Alternatives Dividend Stocks * 2-4% yield + appreciation * 0-20% tax rates (qualified dividends) * Truly passive (5 min quarterly) * Full upside participation * Lower income but WAY simpler Options Income ETFs (JEPI, JEPQ) * 8% distribution yield * Professional management, no blow-up risk * BUT: 2023 returned 9.9% vs 26.3% for S&P 500 * You cap upside permanently for that income My Honest Assessment You can make a living selling options IF: * ✅ You have $100k+ dedicated capital (preferably $200k+) * ✅ You use ONLY defined-risk strategies as retail trader * ✅ You never exceed 2-5% risk per trade, 25-30% portfolio exposure * ✅ You can psychologically handle 20-30% drawdowns without abandoning strategy * ✅ You have 30-60 min daily during market hours * ✅ You understand this is active income, not passive You will likely blow up IF: * ❌ You sell naked options with <$100k account * ❌ You use >50% buying power regularly * ❌ You increase position size after winning streaks * ❌ You sell options based on "market view" rather than mechanical rules * ❌ You lack 2x margin requirements in cash reserves The Professional Verdict Academic research is clear: Both retail and institutional investors profit most from selling volatility, but retail traders using simple strategies systematically lose money. The difference is capital, discipline, and risk management. Warren Buffett's successful 2009 option selling (puts on S&P at 450 strike during crisis) shows what it requires: $100B+ balance sheet making margin calls impossible, 50+ years experience, contrarian timing during panic, and ability to hold regardless of mark-to-market. Retail traders have none of these. The CBOE PutWrite Index proves 30+ year viability, but recent 2024 CAIA research warns "option selling has become consensus" with oversupply degrading future returns. Covered call strategies targeting high yields (12%+) LOST money 2011-2023 despite the bull market. Questions to Ask Yourself 1. Can you watch a $50k account become $35k in 3 weeks without panic-selling? 2. Do you have enough capital that a 30% drawdown doesn't threaten your lifestyle? 3. Can you follow mechanical rules when your gut screams to deviate? 4. Are you okay earning 8-12% with constant stress vs 10% buying index funds? If you answered yes to all four, you might be in the 5% who can do this successfully long-term. Congrats again on your success so far. Just make sure you've stress-tested your approach against a VIX spike to 40+, because that's when you'll find out if your risk management is adequate or if you're just lucky. The graveyard of blown-up option sellers is 20x larger than the roster of people who've done this successfully for 10+ years. Respect the steamroller.

Striking-Block5985

yes there is it's called the JEPI ETF and have pro do CC for you with hedging included for every 100K you put into the ETF it yields about $700 a month in income

epic_swag_gamer

Options on CC funds and other high yield investments like BDCs and REITS, especially MREITS, typically have wide spreads like that I'd start by looking at JEPI or SPYI

freakythrowaway79

Check out JEPI & or QQQI. Monthly dividends.

bikeg33k

start selling at a rate that gives you money you can invest in less volatile assets, essentially dollar cost average out of Apple and Nvidia into something more diversified or lower risk (like an income/dividend focused ETF such as JEPI) You could also use some money to buy some long dated puts on NVIDIA and Apple so that if they drop, you still come out ahead.

freakythrowaway79

Yes, definitely. I'm no financial advisor. Definitely risky for an emergency fund. Just options for once EF is established. QQQI is fairly new (about a year) & has less of a track record than JEPI. 👍🏻

freakythrowaway79

Try chatgpt or grok Look into JEPI & QQQI for high monthly dividends. But again it will complicate taxes unless you are under a certain salary.

freakythrowaway79

JEPI & QQQi Monthly dividends on both, higher than 4%.

freakythrowaway79

Check out JEPI & QQQI

freakythrowaway79

JEPI & QQQI Much higher yield% on monthly dividends.

Blazeitbro69420

You shouldn’t really focus on dividends until retirement or just when you want something stable. Something like QQQ or VOO is what you want if you’re young and want growth especially in a Roth IRA account. Then when you retire you can put that money into something like SCHD or JEPI (within your Roth IRA)and withdraw the dividends tax free. I mean there is more to it than just that, but that’s the basic run down on how I plan on doing it

speedlever

Certainly. If you bought QYLD or RYLD, then imo you bought stinkers. They are not properly structured to resist nav erosion and are destined for the dump. At least imo. I hold a number of cc ETFs from both NEOS and Goldman and have been quite happy with them. So far. I understand your angst regarding cc ETFs after your experience. I think JEPI and JEPQ began a more modern approach to cc ETF investing that was more sustainable. But imo, both NEOS and Goldman have improved on the formula. I sold my JP funds in favor of the NEOS and Goldman cc ETFs. And I did something I swore I would never do. I've never been a bitcoin fan and vowed to never touch that sector. But I can't deny that Bitcoin offers opportunities, regardless my resolve to steer clear. I watched an interview by one of the NEOS co-founders (either Garrett or Troy) where they were discussing their cc ETF for the Bitcoin sector, BTCI. I was impressed enough that I bought some. And I've been very happy with it so far. 🤷‍♂️ I only have about 15% in cc ETFs at the moment. But they have blown away SCHD, one of my core staples during this bull market. Unfortunately that's not saying much since SCHD has been so flat this year. 😬

Small_Rip351

I think GOOGL/ GOOG is a long term hold. I’m holding leaps on GOOGL, NBIS, UBER and TSM. They’re all deep ITM (except UBER) so I plan to roll them for the next 10 years to maintain exposure. I sell weekly or monthly calls against those holdings to wash theta and chip away at cost basis. I’m holding MSTR shares long term - it’ll either work out or it won’t, but I could see it above $700 at some point in 2026. As long as the price floor keeps increasing YoY, I’m comfortable holding through the volatility. I’m also holding the XOM shares I bought in the $30s when oil futures went negative during covid. Lastly I’ve been trying to snowball JEPQ and JEPI in my Roth, so that’s a long term hold. Shoot…I was only supposed to give one. I guess I’d have to go with MSTR. I wanna punch myself every day for selling RDDT during the April selloff. I should probably get back in at some point.

F0x_Gem-in-i

For dividends? You meant JEPQ/JEPI/SCHD and many others....... Not a penny stock.

Willing-Promotion685

You don’t have enough capital to generate €500 per month in dividend income. Let me give you two options: 1. Buy a broad index like sp500. Sell enough stock to generate €500 per month. Your portfolio should appreciate fast enough that your holdings still grow. 2. Buy an ETF that holds stock while selling covered calls. A good example is JEPI which generates about 8% annually. I prefer option 1 but option 2 is a bit more psychologically satisfying. Cheer on your 100k and good luck mate!