JEPQ
JPMorgan Nasdaq Equity Premium Income ETF
Mentions (24Hr)
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Advice for investing in this long call on an etf rather then a traditional stock.
I feel like I’m leaving so much money on the table. Talk some sense into me.
3rd year of maxing out my roth ira. How do my allocations look
FEPI Looking like a better JEPQ. 25% yield, solid price performance
Late to the party and new to dividend investing. Let me know what you think of my mix. I know I have overlap and probably too many, so any suggestions would be greatly appreciated. JEPI, JEPQ, JEPY, QQQY, SPLG, DIVG, SCHD and YYMI.
Is There Something Wrong with Yahoo! Finance?
Common criticism of covered call ETFs vs potential alternative?
HSA question, throw it in Jepq, reinvest in VTI?
Looking to supplement my military retirement income w/stocks,etfs
How would you invest $200k to generate $1,500 a month passively?
High Yield Monthly Dividend Stocks or Funds with High Option Volume?
Seems Fidelity doesn't add to your cost basis when you DRIP.
What place does JEPI/JEPQ hold in a world where Tbills and MUNIS start paying an acceptable coupon?
What’s a better short term investment (6-12 months), JEPI or JEPQ?
I have noticed that the same stock will be listed at different prices depending on the source. Why?
Mentions
Lately everyday I try to buy one JEPQ, Jamie Demon is a smart guy, I trust him more than my wife
There a boatload of hybrid ETF's the use varying strategies, like selling ODTE calls against long leaps that yield substantial returns, li,ke JEPQ @ 12% yield, though it experiences decay against the SPX for obvious reasons, it yields about 2X that decay. It does rise and fall with the SPX, but you can hedge it, either with cheap OTM vix calls, SPX puts, or simply maintain a 10% balance of a 3X bear etf, rebalanced every 5% or so to avoid vol decay. ,JE<PQ is one of the lower yielding in this class, but it also decays less, more predictable.
I do both. My largest holdings are JEPI and JEPQ, which are covered call ETFs You could easily swap those out for VOO and QQQ. My core four dividend holding are Enterprise Products (EPD), Energy Transfer (ET), Federal Realty Trust (FRT) and Realty Income (O), all but ET are Dividend Aristocrats (raised dividends every year for 25 years or more). My semiconductors are NVIDIA, Broadcom and Marvel. My big tech is Meta and Amazon. I like buying and holding great companies. ETFs like VOO and QQQ can be better tools for market timing.
First put 7k into your Roth IRA. SCHD, JEPQ or a mix of %. Start building that dividend portfolio and let it ride in there
If you’re looking for a good dividend earner check out JEPQ.
My girlfriend is 29 and works at a FAANG and recently sold her RSUs that vested recently. She is just sitting in cash right now. I worked in finance many years ago and barely remember what was on the CFA exam, but gave a shot at coming up with an allocation strategy for her using a combination of myself (not credible), ChatGPT, and a few other LLMs. Oh, she is just looking for growth (horizon 30 years until retirement) - no withdrawals needed, and she is not risk averse. Maybe I'm missing something else - I'm not a financial advisor lol. Here is what I came up with: |Sleeve|Allocation|Strategy| |:-|:-|:-| || |Core|20%|50/50 META/GOOGL - direct replacement for QQQ| |Growth|55%|5-10 narrative driven stocks - bias to tech & healthcare| |High Yield|10%|CSPs or covered call writing - maybe just ULTY| |Income|5%|Funnel premiums from high yield to JEPQ| |Cash|5%|SGOV| |Hedge|5%|QQQ puts| Does it make any sense? Am I an idiot or should I just tell her to go to the nearest Wells Fargo? Thanks in advance!
interesting that JEPQ / JEPI are trailing their benchmarks by so much. Lower than they were at the year open.
Diversification is part of risk management and risk takes various forms. Market risk, risk of default and risk from inflation are your main ones. Lower credit rated bonds have higher risk of default, long term bonds lose value if interest rates increase and dividend and other equity based income has market risks in addition. Short term bonds and money markets are the safest and should be held to cover your short term cash needs, equity based income has market risk but if you can hold for two to five years then you can ride out market swings. I am retired and keep about two years of withdrawals in my safe income bucket, I have most of my income bucket in riskier things like SCHD, JEPI, O, ARCC and smaller amounts in SPYI, QQQI and JEPQ. Tiny amounts in BTCI and MSTY to watch and learn these newer types of investments. I feel the diversity mitigates the risk and my small pension and SS also function as low risk fixed income. Spend some time learning about any investment, don’t just rely on internet self described experts.
Still diversify. VOO, SGOV, JEPQ
You might be. Levered ETFs in a retirement account is suboptimal because of volatility, time decay, fees and expenses and retirement account money is the hardest to replace when something goes wrong due to income and contribution limits. Take big swings in a taxable account for the above reasons. Nowadays if you want to make CC income, especially in a retirement account, buy JEPQ or QQQI and let the pros do the work, collect your 11% with lowered beta and stable results and low-ish fees.
VOO, JEPQ, JEPI, QQQ, tbh, I'd take out an option on VOO a few months out for it to hit like 10 bucks higher and let it ride
1 year before I retire it's basically all going into $JEPQ/ similar. 11% dividends for income, set it and forget it.
I like them too, then I have JEPQ and FUSD to help out during downturns. Funnily enough, FUSD also is 30% tech, which is higher than SCHD. I prefer SCHG to R1GB - I only don't have SCHG because we can't buy it in our tax adv accounts, and taxable brokerage it is a CFD, so I don't own the asset (but covered up to £85k). It shouldn't cause a political debate, the mods will shut it down haha.
I have 5, some overlap. Ignore people who say "bUt It OvErLaPs", so what? As long as you KNOW what is overlapping and have a reason for it, why not? My ETFs are: VUSD, EQQQ, FUSD, JEPQ, R1GB. I have the mag-7 overlapped. Do I care? Yes, because they're winners and AI is only just starting. I'm not sure if I would hold SPMO long-term though. It's pretty much like the S&P500 if it were performance chasing. Which country are you from btw?
I have a good amount of SCHD, VTI, VXUS, JEPQ, XLE, MSTY, ETHA, and IBIT. HCTI is my play and gamble money but I like the direction they're heading. I work in Healthcare so I like seeing healthcare and AI coming together.
It is going into JEPQ, but I also want to buy everything bit by bit.
This makes me glad I have JEPQ. It is boring though. I tell myself to ignore it, and then my phone alerts me on every 10% movement, I'm just slightly above flat in the last week or so.
i’m retired and have SPY and JEPQ and some FEPI and AIPI. Check them out, Covered call ETFs and they pay very nice dividends every month.
Today proving why you should stick to your guns. I play both the growth and defensive side of things so idc which way we go in the short term. Then I got JEPQ for when we go sideways.
Loading up on MSTY, SCHD, and JEPQ
Damn, just sold 135k worth of NVDA to buy SCHD, JEPQ, and MSTY equally
Bought some SCHD, MSTY, JEPQ today tho boutta harvest some divvies for the passive income
So you're borrowing at 4.3% but what is the return from your ETFs? I know ones like JEPI/JEPQ are like 8-10ish and pretty safe.
TL;DR - You should check out r/Bogleheads investing philosophy and just buy $VT/VTWAX. Dividend investing is antiquated and likely harming your total return. $JEPQ is terrible and most likely has a tax drag hurting returns. Check out these videos (with sources cited): [The Irrelevance of Dividends](https://www.youtube.com/watch?v=f5j9v9dfinQ) & [Covered Calls: The Income Illusion](https://www.youtube.com/watch?v=YMLVdY8y8vM) What's more, you have a concentrated position in the largest American companies. Why won't large non-US companies produce strong returns? Why won't smaller American firms produce strong returns? There's no good answer. You are betting on heads, but there's an equal chance for tails. That's idiosyncratic risk that's completely uncompensated. Your volatility goes up, but your returns do not. This is bad. If over the next 40 years of your investing horizon huge economic shifts hurt the United States, you will be better protected and have higher returns with international diversification. It is possible the United States will continue to outperform internationally equities, but the smartest minds don't expect that. Vanguard predicts ex-US will outperform US by 1.7% in the next 10 years in their [Market Perspectives](https://advisors.vanguard.com/insights/article/series/market-perspectives) newsletter.
And how old are you now? At the very least, I agree with what you suggest: I don't see the point of JEPQ/dividends at this point. Aim for either growth or stable market growth - dividends will not outperform either of those nor serve you right now. Not sure what rental properties you are aiming for or if you are trying to invest to save up for rental properties. If you are trying to invest for that, you may want to be a bit more conservative and at least put a portion into an ETF like SGOV.
If you’re aiming to retire early, focus on growth. Your allocation in FXAIX is already aggressive and keeps costs low (good). Make sure to re-invest all dividends from JEPQ (I wouldn't increase my stake in that fund). Key is saving a high % of your income and staying consistent long-term. What you could consider is adding international equities since you're currently 100% in the US. Here's a breakdown of your portfolio: [https://insightfol.io/en/portfolios/report/65526fb0dd/](https://insightfol.io/en/portfolios/report/65526fb0dd/)
Keep doing what you are doing until you learn more. Getting started early is your primary advantage. Your investing approach is what we call "boglehead" if you didn't already know. It's pretty much the baseline investing case in my opinion. Unless you can come up with a very firm rationale for changing your plans, don't change your plans. BTW, JEPQ pretty much overlaps FXAIX at the high market cap end of the S&P. That means you are actually MORE concentrated in the Mag7 then you otherwise would be if you did only FXAIX. (If this is intentional, ignore this comment, sort of.) It's a common oversight for young investors. They heard somewhere that diversification is good, then they go out and buy three nearly identical funds (SPY, VOO, and FXAIX). You have to look at how the sausage is made. Scroll down to holdings. [https://finance.yahoo.com/quote/JEPQ/](https://finance.yahoo.com/quote/JEPQ/)
I tried that for the better part of a year. I switched to income and dividend ETFs (SCHD, JEPI, JEPQ) about six weeks ago and have already made more in dividends AND made more in price appreciation than the mutual funds, and it isn't even close. I made a little under 3% return on mutual funds and am on pace for about 12% from the ETFs.
Split 50/50 on JEPI JEPQ, 4,000-5,000$ a month of supplemental income and you get a little growth on top. For me that's the lowest risk play you can make.
MSTY is the goat if you are purely looking for monthly pay. JEPQ is also good though
What would you like to accomplish with it? Growth: 50% VTI / 50% QQQ Income: JEPQ, earn around $900/month
For my taxable brokerage account Weekly $300 VTI $100 WM $50 Amzn $50 Walmart $50 JEPQ $50 BJ’s Wholesale $50 Goog Monthly $700 cash deposit 401k - 17% of my base salary whatever the max contribution with a 6% match Roth - I max it but I don’t put it in monthly. SEP IRA - I try to get another 7–10k in yearly HSA - Max monthly and I just invest with it
NEOS is using section 1256 index option contracts, meaning it's taxed 60% long term 40% short term cap gains. JEPQ is mostly if not completely ordinary income if I remember correctly, plus, JEPQ isn't even outperforming QQQI pre-tax, let alone post-tax JEPQ hasn't been around very long either, barely longer than SPYI, so I'm not sure why you'd trust one over the other, unless you have fundamental concerns about NEOS management vs JPM
Agreed JEPQ With 40-50 delta CC BRK.B Those are where I’m moving capital Mag7 still are down …. Some a lot still but those seem like will b killed first when we correct
What about something like JEPQ that currently pays 10.6% plus NAV appreciation. Or even the ultra conservative SCHD at 4% plus NAV appreviation. After taxes these won't make you rich but it will cover the 2.99% and then some. Or if you're por and in the first or second tax bracket, this plan just might be interesting..
I like JEPQ while selling a CCall about 1 strike OTM Also love BRKB here Shares with CC or just CSputs with money in treasuries I think both outperform to years end
Terrible advice. u/Asap316 , you'll be fine with what you already mentioned voo/qqq/qqqm. Whatever you do stay away from JEPI and JEPQ |Ticker|Sharpe3Y|Sharpe5Y|Sharpe10Y| |:-|:-|:-|:-| |VOO|0.61|0.82|0.73| |QQQ|0.76|0.78|0.86| |VGT|0.71|0.79|0.91| |XLK|0.68|0.82|0.93| |JEPI|0.34|0.75|0.00| |JEPQ|0.67|0.00|0.00| |FTEC|0.72|0.80|0.90| |SPMO|1.00|1.01|0.00|
Was definitely looking for more like S&P 500/nasdaq but didn’t even know about the JEPI and JEPQ so will definitely look into mixing those in cause the dividends would be nice to have and reinvest.
While I agree with the commenter about JEPQ and JEPI being good for dividends, I think they serve a different purpose than what you are looking for. As you pointed out, both of the JEPs have lower growth, so it doesn't make sense to buy and hold them unless you are looking to live off of dividends or need extra cash each month. Also, if you have income from work and don't need the extra cash from dividends, then it unnecessarily raises your taxes. Sp500 and nasdaq are the way to go for long-term investing -- safer and higher growth. Remember, almost no one beats the sp500 returns over the long haul.
Well, I was suggesting in terms of dividends, if you compare VOO and JEPQ dividends you can get a clear picture, I personally believe VOO are for people having millions of dollars for retirement and can easily live off 1.5% dividend yield with ultra low risk ever. While you are young and don't have family responsibilities, I think you can risk a bit.
For the younger age people, I would like to suggest rather than going for $VOO and $VIG, until you are 30s or have kids, you should go for ETFs like JEPQ and JEPI. Good luck, glad that you are starting on the path of investing early.
QQQ ytd net is 2.8%, JEPQ ytd net is (2.35%), before taxes, so maybe (4%) overall 6% spread. to be fair, it is basically a hedged equity holding, and you can reinvest dividends into shares, so return profile for people who do that is probably better than what I quoted above
JEPQ trailing QQQ bigly at this point in the year.
Can't you borrow capital against your position for a safer growth account filled with stuff like JEPQ, SCHG, MSTY, etc... My neighbor has diamond hands full of msft. He bought it all when he started working there, and its now worth 6M. He borrows against this position for real estate to rent. 12-13 houses with probably 3-4M in mortgages on them.
I would have done 50% SCHG and 50% JEPQ if I was going to hold it for years and years. 🤔
ETFs that seem fairly common on reddit (SPYI, QQQI) are blocked. its allowed now, but i recall a time when JEPI/JEPQ were blocked. i recently wanted to add some CLO ETFs and almost all of those were blocked. JAAA is the only one i could buy in merrill.
I’m interested in JEPQ. First time investing in dividend funds. What taxes are associated with the returns? I heard you get a 1099div sheet in January. Let’s say this is my only source of income and I bought 100k (1923 shares). @$6 per share per year that’s $11,538. What % does Uncle Sam get?
Thoughts on QQQI, JEPQ, and SPYI? I’m thinking on putting 10-20k into those. Is it worth it if I’m already in SCHD and SPLG?
Two things: 1. If you are investing for retirement, you should look into a roth IRA (or backdoor Roth, depending on your income). No capital gains taxes. Woohoo! 2. Buying and holding every stock in the market will outperform 95% of investors. Index funds and ETFs (like VOO) do this for you and charge very little in terms of expenses. SPY does the same thing. Don't buy things that you don't understand. If you can't explain how JEPQ makes money and what the risks are, you shouldn't own it.
Hi [r/investing](https://www.reddit.com/r/investing/) I am 33 years old and would like to start investing on my own but I am pretty lost and looking for some advice how how to do this. Some advice i am looking for is some 'general rule of thumbs' where i can take X amount each month from my paychecks and invest them but not be extremely involved/obsessive about it. AKA i don't want to wake up every day and 'make moves' which i think is a pretty normal thing to expect? Here is some info about me. I am looking to take about 10k from my HYSA (3.6% rate atm) account and invest it. I currently have a Charles Schwab account and have done a tad bit. \-I max out my 401k and get company match \-I have a HSA account but not max it (i put 1,200 in a year work gives $500 - should i take a portion of my 10k and max that first?) \-The only debt i have is a mortgage (2.99% interest rate) so it seems better to at minimum leave money in my HYSA rather than pay off mortgage. \-I have about $1,000/mo leftover to invest and would like to start doing the right thing now. \-This ideally would be money for retirement so i suppose some safer and some more aggressive? I think what I am looking for are some safe stocks/index funds to invest in. Also how to go about knowing when to buy more? A friend of mine says a 5% drop from a 30 day high? Right now I have a few shares of **JEPQ and FCNTX** I was looking into **VGT** and **VOO** as well? If any more info is needed please let me know, and please don't solicit via chat with paid services. Thanks!
That’s not necessarily true. SPYI yields more than 10%. Are you saying that’s a trap? QQQI? JEPQ?
Retired and my Dividend ETF's are VIG, SCHD, JEPI AND JEPQ. Plus I have VZ stock.
> Is you invest in dividend ETFs or a single stock, is that all you get is the dividend? Any capital gains after? Yes, you get capital gains (or losses!) too. This is why it can be dangerous to go “yield chasing” and buy an ETF with magnificent yield, but then the NAV of the stock itself erodes away to eventually nothing. Other ETFs out there strike a good harmony between a stable, dependable dividend, as well as growing the NAV with it. SCHD is a popular example. > What is a good distribution yield Depends on your goals. My personal rule of thumb is 3-4% is indicative of a stable, dependable income stream (SCHD, DIVO, etc). 1-2% is ok if the ETF is growing substantially in NAV (VTI, DGRO, SCHG, etc). Once you get above 4%, look carefully at whether the NAV is growing or eroding over time. Some ETFs (JEPI, JEPQ) have yielded higher than 4% and not eroded away their NAV. But then also consider whether the total return is greater or less than more stable ETFs like SCHD or DIVO. Another thibg to consider is whether the dividends from a particular ETF are qualified or not. Qualified dividends is a fancy way of saying the dividends are taxed at capital gains rate, not income tax rate.
Das wird vielleicht wirklich ein Problem für mich. In 487 Tagen fängt mein Ruhestand an. Ich benötige danach Geldfluss. Das sehe ich leider nur mit amerikanischen Aktien. Ich komme aus Deutschland. Deutsche Aktien zahlen einmal im Jahr aus. Andere europäische Aktien oft zweimal im Jahr. Wenige jedes Quartal. Asiatische mit einigermaßen hoher Dividende zahlen auch nur zweimal und dann oft nur Juni oder August und Dezember. Februar und März machen die meisten Sorgen und da sind viele amerikanische ETF echt super. Es gibt europäische Äquivalents zu JEPQ und JEPG. Und seit wenigen Wochen sogar ein Äquivalent von YMAG. So macht das Spaß. Vor allem, wenn das investierte Kapital ok ist, aber nicht großartig. Hoffentlich fängt jemand 899 ein und es beginnt nicht... Was macht Ihr für monatlichen Geldfluss? (über 4, besser 5%)
I good FA will not be buying options for you. Options are real exciting that third Friday of every month unless you go to LEAPs. You are better off buying one of many option ETFs, like MSTY and JEPQ. They work great in a bull market, watch out for a bear market though.
All of the post I see right now are for index funds. Index funds are tax efficient by them selves since the dividned is very small to nonexistent and you don't pay capital gains until you selll. Alstal o if you get injured or sick you will have a lot of medical epxenese with no liquid cash in the HSA. So using an index fund in HSA doesn't make sense to me. Funds like JEPI,JEPQ, SPYI, QQQI, and BTCI make a make a a lot more sense. Most or their total retune is in dividneds not captial gains. So you could put the money in high dividned fund and not reinvest the dividneds leaving a cash bucket in the HSA for immediate expenses. And then when that is depleted the cash bucket will gradually fill up. Then periodically when the cash ammount gets over ly large you can use the cash to grow the dividend income. Eventually you could get to a point we're your wouldn't need to addd any more money to the account because is will grow by itself faster than you could use it. At that point you could take the excess money and put it in an index fund for long term storage.
If using a Roth, look into high income ETFs like JEPQ/JEPI/QQQI. QQQI may be better to preserve the capital and experience growth while having high dividends.
And not for nothing but covid was far worse. Covid was the ultimate uncertainty of the future and we pulled right fucking through like nothing despite all the work stops/delays/ vendor problems. Atleast with tarrifs we know were gunna be fucked, so we can price that in. And move forward. With covid some people thought the world was going to end look wt where at now. Just imagine where were gunna be once this settles down. Markets are designed to go up. Just buy ur favorite etf and sit back and relax. My strategy is when market goes to shit buy JEPQ/voo and wait till were back st highs to swing trade individual stocks
What’s stopping me from taking out the $50 million margin loan on Robinhood and putting it all into JEPQ. The monthly profits would clear the interest and I’d make some off the top
Id probably use this money to build longer term income with something like JEPI or JEPQ. If you aren’t in immediate need of the income, reinvest the dividends or put the dividends towards VTI/VOO/QQQ
If you don't plan on spending the money, you can open a Roth 401(k) and dump that money into a dividend stock like JEPQ using DRIP or buy something that follows the SP500 like SPY or VOO. You can also do QQQ which follows tech. Personally, I would buy JEPQ as reinvest the dividends tax free for 10+ years. I would just keep it growing until you need it. That could easily become $500k+ over a 20 year period and provide you with a healthy dividend.
I used to have problems with this a lot also. One thing that helped for me was investing in high yield dividend funds and/or high dividend yield stocks. If they move 5% I can at least take comfort that the dividend would compensate for the loss and it makes it easier to hold. JEPI and JEPQ are good ones for this
You should bought JEPQ which pays 11.5% a year in monthly installment.
Scdh or QQQ or JEPQ would have been better
Is it time for the retirement home? Parked most of my money in JEPQ and SCHD
Buy 133333 shares of JEPQ and have a monthly income of between $53k-$67k
Yeah but JEPQ isn’t a company lol it’s run by JP Morgan and sells derivatives
uhhhhhhh JEPQ yield is 15%
I’d probably put like 15k into a few positions…Brk.B, VOO, JEPQ, SCHD. the usual suspects etc…though the risk of recession from the orange man is now yours….so NFA….. it’s your call. If you wanted to wheel…start with CSP’s…F, SOFi, whatever… many others…just make sure it’s a stock you don’t mind owning for the long term. AND more importantly….make sure you broker pays interest on cash that’s being used to secure any puts. This is critical…not every broker does.
I would go to a brokerage and just put 200k in an ETF. I am in the US so I don't know what ETFs are available there. But I can put 200K in QQQI and get a 13% yield (about 2K a month) and all for a fund feed or 0.68%. No other fees. Other similar funds in the US are JEPI, JEPQ, SPYI. Maybe one of these is available.
The financial advisor my friend was going to was ripping him off. I took a look at his profoilio and it was just VOO SCHD and JEPQ. You don’t need to be paying an advisor for those picks
High dividend ETF, JEPQ is one that I hold! Gives me about 10 percent a year.
This is how I store spare cash from my homestead. In JEPQ shares. We harvest vegetables, honey, and sell bees to buy jepq shares. We now have enough jepq dividends each month to pay the mortgage, pre tax.
I’m artificially in cash as I had to transfer a 401k over to an Ira in Jan. So I’m still mostly waiting. Market will sideways most of the year. Probably just going to JEPQ and chill
NAV deterioration, if you're going for these yield ETFs the only one worth a damn imo is JEPQ which outperforms QQQ in bear markets since you're making premium back. If wanted a dividend stock would get SCHD and withdraw 7% per year including dividend but this is well after retirement.
I put my dividend stocks and ETFs into categories. Top 4 are higher yielding and steady payers (MLPs & REITs): Energy Transfer (ET) is MLP midstream pipeline with excellent growth prospects and high quarterly dividend. Enterprise Products (EPD) is rock solid MLP and a dividend aristocrat (raised dividend every year for 25 or more years). Realty Income (O) is a REIT known as “the money dividend company.” Yields better than bonds and grows. Also a dividend aristocrat. Federal Realty Trust (FRT) is a REIT and dividend aristocrat paying higher than US Treasuries. Common Stock with lesser following, good yield and solid prospects: Sonoco Products (SON) manufactures packaging like Pringles cans, aluminum pie holders, cores for toilet paper. Yield is 4.7%, good earnings report and I think it is undervalued. Covered Call ETFs by JPMorgan paying high monthly dividends: JEPQ is built around the NASDAQ JEPI is built around solid S&P 500 companies like Visa, MasterCard, Progressive and Trane. It has less yield and less volatility than JEPQ. Papa John’s
Yield is higher, and expense ratio is slightly lower if you go with SCHD. Right now they're 0.25 per quarter per share, essentially 0.08 per share per month. If $2,500 per month is the target, 2500 / 0.08 = 31,250 shares needed. 31,250 x 26.42 = 825k initial investment. Jebus, JEPQ... $0.60 per month payout. 2500 / 0.60 = 4,167 shares needed. 4,167 x 52.43 = 218k investment. This of course assumes the rate is locked in, which it isn't, but wow I should add some JEPQ to my portfolio. High expense ratio though.
I've been considering JEPQ but so far only dipped my toes into JEPI. If you look at QYLD (pure covered calls NASDAQ100) it has not preserved capital over time. There is also the newer QQQI at even higher yield. I was concerned higher volatility on NASDAQ 100 could also prove to be challenging to JEPQ - but they've done okay -much better than QYLD. I think with more time my confidence will grow in JEPQ and I'll eventually accumulate some amount.
Do you think JEPQ also covers well like JEPI? Seems like higher risk/rewardx
Depends on what they're for. I have 5: VUSD - S&P500 tracker, quarterly dividends EQQQ - Nasdaq100 tracker, quarterly dividends R1GB - Rusell1000 growth tracker, no dividends JEPQ - Nasdaq100 tracker + covered calls, monthly dividends FUSD - US quality income + dividend growth, dividends quarterly (currently 30% tech).
Wealth and income are different. If you want income, consider JEPQ, JEPI, SPYI, QQQI, or SCHD. Putting into S&P500 will generate you great wealth
If you ever think you have a bright idea to buy JEPQ just put your money in the bank the returns are similar.
Put it all in JEPQ and collect your 13%. That’s the smart play. Put it all in TSLA $365c for Friday. That’s the degenerate play.
I am not taking profits but new investment is going into some share plays. Beyond that I think a good question is - is there a lot of money on the sidelines especially if interest rates fall and safer MM accounts have no where to go. This was true not long ago. I do think if interest rates fall I expect that to provide support dividend heavy stocks. I think for growth stocks it will depend on earnings in the light of tarrif shock even if now muted. I am not usually a believer in DCA but at the moment I think it might make sense. So bottom line - If you can afford to do it I would not sell unless the company fundamentals are now not good (like always), bolster up safer or defensive plays including CDs, MM and Dividend ETFs like JEPI or JEPQ or SCHD to reduce exposure while continuing to DCA into growth stocks.
Buying JEPQ is like buying an ETF. Your broker might ask you to confirm the fact you know you're buying something that is a bit more complicated and potentially volatile, but that's it. There's no strike price or expiration dates for you to worry about; the people who are managing the ETF handle all that.
I'm not an active manager and haven't set any options before ><. Would JEPQ still work?
You beat me to it! Though I'd also throw in JEPI as an option. TTM dividend payment on JEPQ is 5.93, which is yielding about 11.50% and paid monthly. Since it makes money off of call options and added volatility will help (all these changing tariffs are increasing volatility), the ETF is going to generate a lot of cash to distribute to shareholders. Last month's announced dividend of $0.60 was 39.5% higher than the dividend in the same period a year ago! Once the tariffs and volatility begin to calm down, moving money into SCHD for long-term growth and relative stability could be a good option.
I think realistically to have a steady and safe $2500 per month, aka $30000 annually, you'd need $800k-$1M. But with what you have, something like JEPI and JEPQ could work I guess.