@socialcap: Covered call funds promise steady income—but here’s what they don’t tell you: That “income” often comes at the cost of long-term growth. 📉 They cap your upside. 📉 They can erode the fund’s NAV over time. 📉 And you might just be getting your own money handed back as a “distribution.” Don’t chase yield without knowing the tradeoffs. Look under the hood before you buy. #YourMoneyGuideOnTheSide #TylerGardner #coveredcalls #dividendtraps #investmentstrategy #yieldchasing #retirementinvesting #moneymyths #wealthpreservation #financialliteracy

Tyler Gardner
Tyler Gardner
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Wednesday 30 April 2025 21:00:28 GMT
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14250chetlain
14250chetlain :
Consider hedging the NAV risk by own a small percentage in the underlying equity
2025-04-30 21:27:55
4
genx_jay
GenX_Jay :
Never sell the stock live off the dividends and you’re good to go as long as it’s in your IRA
2025-05-01 06:32:53
2
wiseguy100
wiseguy100 :
Look at net return. Plus, many of these funds have very favorable tax scenarios.
2025-04-30 21:27:10
4
shesnetworthyco
shesnetworthyco :
If you have a large position in a stock, writing your own covered calls is a yield enhancement strategy.
2025-05-02 23:59:22
1
trippedscene
thebestaaron :
Please give us your thoughts on BTCI
2025-05-01 15:11:04
3
billspencer142
Bill :
What are the cons of an annuity?
2025-05-01 09:18:07
3
flerickson
Les Erickson :
cc funds that don’t own underlying index are riskier while promising big returns. Big NAV erosion.
2025-05-01 15:45:53
2
tcliffy22
Ted :
TQQQ
2025-05-01 21:45:27
2
elmanyacko4
ElManyacko :
Nailed it
2025-06-27 14:13:48
2
flerickson
Les Erickson :
best for retirees; not good before that.
2025-05-01 15:56:08
2
socialcap
Tyler Gardner :
Repeat after me: They’re not magic funds.
2025-04-30 21:02:14
2
tcvan12
TC :
It seems like reinvesting dividends and managing for large NAV erosion can be a compounding bonus. No? I’ve done some projections recently and it can be quite huge. @Tyler Gardner
2025-06-22 20:24:51
0
kadri_glaube01
Kadri G Laube :
Financial freedom starts with the right decision! Grateful for the opportunity to work from home and earn, all thanks to you, @LISA SENAY 📊💰
2025-05-01 07:30:43
0
pillowillowarmadillo
Tom Ato :
I hold JEPI and JEPQ but it’s a very small portion of my portfolio. My main investments are in VOO and QQQM
2025-05-01 15:28:24
2
pnut19s
PNUT19S!!! :
yieldmax etfs i own a few i live my monthly and weekly income 🔥🔥
2025-05-03 00:46:09
1
flerickson
Les Erickson :
spyi, qqqi, have done better than spy and qqq during this downturn.
2025-05-01 15:44:35
1
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