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
I bought JEPQ today at the low. Anyone have thoughts on this ETF?
If you’re holding in a non retirement account, the yields can be taxed as ordinary income. I’ve been working (slowly) on a non retirement income producing portfolio. JEPQ seems best used in IRA or 401k
Nope. These are covered call ETFs. Let's say the NASDAQ is at $100 to keep things simple. JEPQ sells a covered call at $105 and gets some income that's passed on to you. If the NASDAQ goes up to $110, the upside is capped at $105. Meanwhile, if the NASDAQ drops 50% in a year, the covered call income isn't doing much to offset those losses. The NASDAQ will be down 50% and JEPQ would be like 48%. You're trading upside for income. The downside risk is essentially the same. The best thing for these funds is a slow rise or sideways market.
yeah JEPI and JEPQ are great options
I don't own any of these, but in some cases their 1Y price performance is better than XDTE and QDTE: TSPY, GPIQ, JEPI, JEPQ, YLDE, DIVO
If you put that money into JEPQ you would be around $1.50 daily
Dude VOO is not recomemded for small hands. Just invest for JEPQ and you will get dividends average of 10,000$ to 12,000$ per year thus small amount of profit too
NAV erosion, or what I call the slow motion rug pull. PEO has been holding steady for 95 years. JEPQ has a reputation to uphold and isn't doing that with this fund.
Diversity of income streams. I'm in retirement and can't afford risk. I have 80% in JEPQ and PEO averaging 9%-10% dividends without the long term rug pull of other ETFs. The two funds give me good diversity. 20% is laddered in 90-day Treasuries. I also consistently wheel a stable of tickers that I'm not afraid to own. The reason for keeping money in USTs is so that I can trade SPX and pay for the options that get assigned when wheeling. On top of all of this I lookout for big blue-chips that get hit with solvable problems and sell puts on them when everyone else is panicking. BA door blew off? Anytime you can get BA under $200 is a gift from the gods. UNH mess last year, another gift of being able to pick up the largest insurer in the US who literally prints cash. GOOG during the left wing panic back in March of 2025? When my friends were panic buying cases of French wine I was selling in the money puts and panic buying GOOG. I average 20% annual returns.
Just invest in covered call ETFs like JEPI JEPQ GPIQ etc…..the 400k you lost would have generated close to 40k/year
JEPI and JEPQ have 8% and 9% interest. 100k is 8-9k a year in dividends without trading
A - You're a day late. When the markets dip sell puts on real companies or ETFs that you want to own. B - BC/ETH isn't real, it's pure gambling. I've been selling puts on JEPQ when it dips. Worst case I get assigned and make 10% from the dividends, best case I close out the puts early for a 15% annualized return.
I am down on JEPQ for the first time in over a year probably
Canadian banks have consistently paid out without dropping but you only get quarterly payments and the price per share has increased a lot so you wouldn’t have as many shares as JEPQ but you would get possible price appreciation like RBC which has consistently gone up steadily over its lifetime. Also, not the worst case for other Canadian banks if prices dropped as you could always buy more shares during a downturn and it will eventually come back up to even as long as you stick with the 5-6 major banks. Jepq I just saw recently but their stock price won’t appreciate much and their dividends aren’t as guaranteed although I like that it’s paid out monthly and the barrier to entry is lower at this time but much higher PE ratio but I’m not sure how much that matters long term.
I just divested JEPQ and QDVO. Strengthened my VYMI position and balanced it out with SCHY and IDVO.
My JEPQ is down today, my PEO is up. Looks like sector rotation is the answer you're seeking. As for crypto, what does that have to do with anything? Crypto is right up their with unicorn farts.
Get 2,000 worth of Stocks use the rest to gamble thank me later I suggest get 1k of Verizon 1k of JEPQ thank me in a few years champ
At this point I just wanna dump everything in JEPQ collect dividends and call it a day
Not for me, at least until I hit retirement age, and no more than 5% of my portfolio. VOO & VT are the acceleration and growth, JEPQ is a bit of coast, if you know what I mean.
Dude take 75% of that and put it into something longer term like O, or JEPQ, play with the 25%zz
buy a few thousand worth of JEPQ, CGDG, ULTY, CHPY, whatever ultra high dividend motnhly/weekly paying ETFs with minimal NAV erasure or a record of increase you research and fancy to forget about with DRIP on the side. go back to playing with a little more than you originally invested. pay off any credit cards you may have, if they are small enough or worth separating any amount from here to pay
You havent lived through an actual recession, where you would certainly not get stable income from JEPQ. Every stock market drop has resulted in short term negative dividend growth. If we get more than just a month drop like in april, youre going to regret *depending* on yields generated during a massive bull market.
I dont know about QQQI, maybe it’s too new to know, but JEPQ’s capture rate is 93-percent of the upside and 30-percent of the downside. Isnt that pretty good?
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.
JEPQ, until you've done your research
He listed QQQI, SPYI, and JEPQ. These fund have yield of 13%, 11%, and 10%. We are not talking about low yield fund with yields of 5% or 8%And in moderate bear market these dividend funds will easily have a higher total return. The growth funds he listed have an average total return of 10% so the dividend funds have a similar average total return. Yes growth funds can hit 20 occasionally but that cannot tdo that consistently and some years they loose money while dividned funds continue to pay dividends.
VTI = Total USA market VOO/SPY are both S&P500 index funds. These are not growth , they are broad market and hold both growth and value (QQQI, JEPQ, SPYI) These are covered call ETFs, they are not even dividend focused , they sell upside to produce a premium . They will over the long term almost certainly under perform their underlying index of the Nasdaq 100 and S&P500 Simply buying VTI will give you a mix of growth , value , dividend stocks
SCHD and JEPQ are gonna pop next Monday when Aaron Rodgers' financial guy pivots him over to dividend income.
I’m right there with you but without 120k. That is about the exact amount I simulated to provide a passive way of investing. I recently thought about stable ETFS that pays monthly dividends, the high yield ones are all trash like YIELDMAX. Look into FEPI, SPYI, QQQM, QQQI, JEPQ. You can download Google Gemini and apply different strategies to have growth and compounding as well monthly income. Tell it to create a table of monthly and yearly cash flow. You can do a cascade strategy to use dividends from one ETF to invest the other. There are market risks of volatility but if you hold the QQQs on will eventually grow go back up. It’s kind of addicting to fine tune strategies that don’t feel like random luck. Take your time and good luck!
Shoulda tax loss harvested in 2025 , realized, any positions you lost faith in or dont want to wait multiple quaters or years to make back current unrealized losses... this might help This is for new guys just starting out at 16 years old, up to folks my parents age, 72, who have been retired since turning 50 years old, and jerks like myself that chose to retire at 31 and spend his time on his (small, only 6 acres) private island with hound dogs, son, and wife. If you see someone posting/asking for financial help, are confused/lost, or anything else that indicates they could use a guiding light, please copy n past this for them / others to read n benefit from. PLEASE SPREAD THIS MESSAGE: ITS A LOT MORE FUN WATCHING /HELPING PEOPLE INCREASE THEIR WEALTH/PORTFOLIOS/ABILITY TO BE FINANCIALLY INDEPENDENT N RETIRE EARLY THEN GETTING TO THE TOP OF THE MOUNTAIN, LOOKING AROUND, AND REALIZING YOUR ALL ALONE. This will be the best advice you get and best to get him on path to be financially independent. Set him up with 3 or 4 Charles Schwab accts: 1 taxable brokerage, 1 ROTH IRA, 1 HYSA (currently 3.3% apy) , and free checking acct. Matched these with the FREE ($0 yearly fee) American Express Charles Schwab INVESTOR CARD that automatically deposits 1.5% his monthly spend into his new CS brokerage (do not the advise or tell him to get the platinum unless he can offset the $900 AF with a huge intro bonus, annual retention offers, travels at least 2 to 3 times a year, use all the mini credits on uber, hotel, etc the amex platinum schwab card grants holder to actually make it a smart financial decision : but I will say if it's close for the math to be a wash / slightly beneficial (aka saves him money on stuff/things/trips that HE WOULD HAVE SPEND NO MATTER WHAT, or gift him the CS platinum for bday/x-mas, then get the platinum as it allows AMEX points to be redeemed for 1.1 cents per point, aka a 125k intro bonus point offer on a CS platinum is worth guaranteed $1375 for just the bonus and then all other points acquired adds up fast in addition to the 100 credits/other benefits. Finally, in the schwab brokerage acct all you need to do is deposit some cash and buy shares of JEPQ. As many as you can, and after buying them turn on the DRIP function (aka click button that enables DRIP on for the JEPQ holdings, DRIP = Automatic reinvestment of monthly dividend JEPQ pays to instantly purchase more shares of itself.) and each month add fresh $ into acct to buy more JEPQ, use the CS INVESTOR CARD's 1.5% that's deposited straight into the brokerage acct (or if went CS platinum route, exchange his AMEX reward points for $0.011 per point, aka 10,000 points = $110... follow this advice for all of 2026 n beyond and your grandchild will be set up to become financially independent / retire when he chooses not letting money make the decisions. If he follows that advise he'll make about 10-25% on investment via dividends and underlying ETF share price adding another 10-20%, yielding 20-45% gains by 2027. If hes interested in higher risk/reward or even adding some risk mitigation (if his research indicates negitive market outlook) to buy some calls on JEPQ if positive outlook, or buy some Puts to have downward protection of shares if he thinks were headed in that direction (word from the wise, 2026 is gonna be a BANGER year for most us companies, specifically NASDAQ / SP500 of which JEPQ is comprised of, so buying puts probably not smart unless you just want a couple Put contracts with expiration dates 4-12 months in future, to offset main JEPQ shares he holding should market dip (aka if bought 500 shares going long n strong, but 5 Put options with At the money/just outside of the money with expiration dates between 6-12 months. .. itll lessen risk, but lessen amount of potential gains as they will expire OTM (out of money) and lose all value BUT if WW3 starts and markets get crushed down 15-25% those Puts will not only offset losses from share price going down, but would actually make you money on your move. If you already know all this stuff but wanna ask about more advanced plays, set ups, and opportunities (example: like how right now there is Major oppertunity in a supercycle of the oil/gas industry/companies that's going to resemble the sector gains realized in 2015 n 2016 (I booked about 300% on the plays back then, and its gonna repeat for those who hone in on specific company shares for super long maybe lifetime long holds but more importantly oppertunity in the derivatives of said companies,) just ask. Or if you wanna know how to deal with essentially just not having to pay taxes on ordinary (non-qualified) dividends legally/strategically, or even little life advise, send it over this way n let's get lots of people benefit to benefit from information/ideas/roadmaps for others to follow / join in on the ability to not have to do things you dont want to do just to pay Bill's Spread this whenever you see someone in need of help / people you want to watch be successful n actually succeed! -Cheers- "Saturn Valley"
They’re not all bad. Take a look at this comparison of QQQ vs various QQQ-derived covered call funds https://totalrealreturns.com/s/QQQ,QQQI,QDVO,KQQQ,JEPQ,GPIQ QDVO handily beats QQQ in total return with dividends reinvested
QQQ, Apple, Amazon, Intel , JNJ, kmi, msft, soun, ionq, qtbs, rgti, google, SMH, XLK, Kratos, JEPQ, Walmart, Tilray, Green Thumb, BOTZ, Ford, Duke, as well as a few other smaller positions. Currently I am dcaing monthly into qqq, rgti, ktos and xlk
In my brokerage account I would say NLR, SMH, and Coreweave. My Roth in a brokerage has WELL, JEPI, and JEPQ.
Could have made $19 off dividends with the same invested in JEPQ.
JEPQ is a trap and income investing in a Roth IRA doesnt make any sense.
Great point, the covered calls feel great now, but in a large downturn could be no fun. At some point I plan to end my JEPQ yearly investment, and go 100% VTI. But continue to let the JEPQ DRIP into bitcoin. And without too much detail, I simply believe in bitcoin long term. The world is becoming more digital and bitcoin is digital gold. It’s still young and volatile, but will stabilize as time goes on and has the potential to (continue to) be the greatest investment opportunity of the 21st century.
Absolutely true, no appreciation on sgov but about as safe as you're getting to get. I really like jepi and JEPQ as well or spyi or qqqi for similar returns. And of course everyone's favorite schd. Similar payout as sgov but with appreciation
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.
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.
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.
Qyld is the one that advertises a higher yield right? They probably sell at the money calls, which give a higher yield but fuck your recovery. So CC funds cap your upside while not really doing anything to protect your downside. So in a recovery qyld will do much worse than something like JEPQ where they are selling further OTM so they can somewhat recover. Both are by far worse than just holding QQQ though, and a trap to noob retail investors and those who failed Algebra.
I’m still confused how JEPI and JEPQ get their yield besides investing in dividend payers and using ELNs
Thanks. I currently have XYLD because it is only 35% tech apposed to 54% JEPQ.
What's wrong with ETFs that sell covered calls? JEPQ, JEPI, XYLD may limit your upside growth, but they thrive in sideways market .
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.
JEPQ is an ETF that sells covered calls on QQQ. That is the relationship. It provides "income" by distributing a lot of non qualified - which are just forced taxable events. Most sane people don't like paying taxes and instead prefer to defer capital gains until retirement, when their income (and marginal tax rate) is generally lower. JEPQ has underperformed QQQ by about 6% YTD and 20% since inception in 2022 due to being capped on the upside from selling covered calls. So this is super stupid if you ask me.
OP is unaware of how JEPQ and QQQ are related. And he also has no idea the distributions from JEPQ are taxed basically as ordinary income.
Do you not understand how JEPQ and QQQ are related?
>Interesting that JEPQ is actually up 6% for me and is throwing off 10% distributions. Not really considering QQQ is up almost 20% YTD.
My thought was that as long as the NAV stayed positive / slightly negative, that the distributions...even after taxes (especially on FEPI) would yield a higher return than SP500. If I were to net $24k after taxes that would be a 12% return on $200k. However, if we do go into a bear market these funds will get hammered. Think I will take the community's advice and pull out of FEPI next week (after distribution) and harvest a modest loss. Rotate out of JEPQ sometime next year. Interesting that JEPQ is actually up 6% for me and is throwing off 10% distributions.
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.
No. However, I’ve leaned on this year towards income index funds, (a little riskier) which have done well—SPYI, JEPQ, QQQI. Algos (modern) are finally making these types of funds much more safe and profitable (my opinion). Always do your own research but I like these.
I have too much money in ARCC already but good call. JEPQ looks interesting. Basically Thetagang started and index fund to generate cash?
Purchased SEI this morning, adding to my AI related plays. Holding BW, APLD, SEI, and NVDA. Rate cuts imminent, holding diversified ETF’s and index funds including, SPY, XLK, QQQ, JEPQ. Bring on Kevin Hassett.
I understand that there's more profitable places to park my money, but it's fun getting that dividend from JEPQ and buying more JEPQ.
Can someone less regarded than I explain why buying something like JEPQ/JEPI with margin and banking the difference is a bad idea?
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.
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.
Behavioral controls are important too. To help mitigate my losses I only re-gamble half of my winnings from options. The other half buys SCMB to set aside my taxes and SCHD/JEPQ for the rest to give me dividend yielding assets. I can go to zero on all my options money and be forced to wait for a dividend to start gambling again. All trading is just psychological. The numerically optimal thing to do just pushes you to take risks.
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.
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 👍🏻
Who else on this board rotates between JEPQ and QQQI inter monthly to capture their healthy monthly payouts of 10.15% and 13.45%? 💰 Works well
Thinking of rotation out JEPQ because of the impending AI bubble and into something safer for now such as a short term bond ETF. Thoughts?
i would look into a nice income ETF as well I love JEPQ or JEPI
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/)
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/)
I did the same thing soof the rental and put all the money into JEPQ. same income no headaches
First of all I keep investing as that's the best strategy that I know of. I don't see it as a bubble popping over night but rather a potential incoming slow rolling downturn of the market or stagnation until we get some real AI besides LLMs. The hype will slowly fade over time that could lead to companies lose the gains that they've got from it. That's why I've personally decided to move my money into JEPQ which has been made specifically for situations like this. I also get exposure to Nasdaq but I'm also prepare in case something happens and I can use the distributions to reinvest in discounted assets if the bubble really pops. Besides this I also invest in infrastructure for AI which I believe will not suffer as much from a bubble as other companies that are getting hype from AI tools. Not financial advice.
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).
Covered calls by their nature cap your potential gains. You keep collecting the premium selling options as long as the stock price stays low. If the stock price rockets up, your shares are called away and you no longer collect the premiums. Now imagine I had NVDA stock and kept selling covered calls. One day it rockets up, my shares are called away, the stock keeps rocketing up and I lost the opportunity of those gains. I mean if you have a high conviction long term investment, you probably don't want to risk assignment and losing shares. There is also tax obligation that triggers on profitable sales. ETF's that sell covered calls and return the premium to you in the form of dividend distribution have gotten very popular recently. You have JEPQ yielding around 10% and QQQI about 13%. In this case there is no maintenance to sell contracts and no risk of shares getting called. >I get you can get trapped if the prices tanks but outside that, isn't that just like free money until it finishes ITM You're basically saying I can't lose money if the stock doesn't go down. Easy to say, not as easy in practice.
Put half into SPMO -this is a momentum fund that has consistently outperformed the S&P500. That will give you some growth. Then invest the other half into QQQi and JEPQ for monthly dividends.
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.
Not index but best buys for me have been WPAY, SCHD, SCHG, FBTC, FUTY, and JEPQ
Just put the profits into WPAY and JEPQ.
Like we said. In Europe we can’t have nice things… PBDC and PFFA and CLOZ are not in Europe. JEPQ is LSE and is available (fortunately)
Well than JEPQ is your best choice of the 3. can you get PBDC9% yield, PFFA 8%, or CLOZ 8%. These 3 plus JEPQ would get you to your income goal and leave you with
I live in the US. I don't know how your laws affect investing for you or the fund selections you use. So keep that in mind. JEPQ and QYLD both invest invest in the same index. So why both. Also these ar not the best ones in the US markets. JEPQ produces regular dividends so the income is taxed at a higher rate. QYLD is known to have NAV and share price erosion issues. I use QQQI 14% yield, and the fund does everything possible to so that the share price and NAV follow the index. So far no NAV erosion issues. Also in the US the dividend is classified as ROC and is taxed at a much lower rate the JEPQ and QYLD. QQQI is a NEOS fund. NEOS has another fund SPYI that invest in the S&P500 The yield is 11.7% has no NAV erosion and the same low tax are QQQI. XYLU also has NAV erosion issues. So over all I would replace JEPQ, QYLD, and XYLU with QQQI and SPYI. Neos has several good funds you might want to use check out their web site. Also SPYI and QQQI fallow ther index they fallow. so volatility should be similar to the Nasdaq 100 and the S&P500 indexes.
Too complicated. Just go all into JEPQ and call it a day
Oh it can definitely be part of your investment strategy (though I prefer QQQI or JEPQ) - but it ain’t a hedge.
20% JEPQ or XDTE for income generation. 60% VOO 20% VXUS NFA
Are the price movements of covered call ETF's like JEPQ or QQQI influenced in the same manner as single company stocks or other ETF's like SPY or QQQ? I.e. supply vs demand, i.e. more buyers vs more sellers.
Ahh ok I see. I have an account through Public where I try to only trade with max 5% of my port and the rest is investments. Then I have a smaller account on Schwab for divs only (ADX, ARR, JEPQ, and MSTY), not too invested into that since Im young and should be investing more into growth stocks.
Currently own equal amounts of NZF, JPC, PMT, JRI and FBND for a yield of almost 9%. I I will flop for FBND for JEPQ if we ever get a stock market correction.
Never is good. I have a soft plan to sell 75% at $150B Mktcap, that'll give me $2M I can put into JEPQ. But I might hold on longer or sell CCs for a while.
Put it in JEPQ, earn 9% with monthly dividends.
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. 😬
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.
JEPQ. Gets some smaller growth but also a real nice dividend
18 is way too young to be considering a house and all the responsibilities that come with it. I would take out from the profits what you put in, also take out any you need to pay off outstanding debts and then invest the rest. I would invest a chunk of the rest (like 40%) in ETFs like VOO and some that pay dividends, like JEPQ. 30% into solid high-growth companies (GOOG, NVDA, NBIS, etc) and with the last 30% mess around with more volatile stocks that have good growth potential (do your DD though). This is what has worked for me so far. I would consider it moderately aggressive but a bit more on the safe side than a lot of people on Reddit would suggest.
For dividends? You meant JEPQ/JEPI/SCHD and many others....... Not a penny stock.