Global X S&P/TSX 60 Covered Call ETF T.CNCC

Dividends up across the board

[spazzman]

 Dividends are higher this month over last month on the horizon covered calls ETF's
HEE, HEX & HEP all yielding >16% (for this month at least) 

should see the share price pop tomorrow 

[themangokid]

how are you arriving at your conclusions.  I'm seeing the divs down a bit on a few of these products, like HEX.  I'm still seeing a nice yield but not the 16% you metion.  What numbers are you using?Thanks.

[Banner403]

Dividend payout rates are actually down from the previous month (for HEX and HEP). The increase in yield is only due to the decrease in equity price vs the dividend payout - which is almost exactly the same (even a bit lower). https://www.horizonsetfs.com/Pdf/PressReleases/20110620_HAP_Distributions.pdfhttps://www.horizonsetfs.com/Pdf/PressReleases/20110519_Distributions.pdf you can see based on

[spazzman]

 I found my original notes and calculations,  I was using the closing price of June 20,  but the wrong month's declare dividend.  Thanks for pointing out my error.  Its important that information posted is accurate.   I doubled up on HEX this morning, waiting for Horizons to launch the US equity covered call fund.

[themangokid]

out of curiosity, how many shares does everyone own?  I have 750 of hex at an average price of 9.62.350 of hee at an average of 9.40and 335 of HEP at 8.93I'm tempted to add to positions as the markets fall but ideally I'd like a few more months of watching how closely these products follow their underlying equities + watching the distributions levels.  I dont mind a fluctuation

[Banner403]

These dividends are not going to be consistent.  You are in the wrong fund/etf if that is what you're expecting.  Especially with HEP and HEE, there are going to be commodity bull months where the calls are going to be exercised / called away and the option income will be a few % points less.  The dividend rates that we have been receiving (in the past 2 months) are on the high

[spazzman]

As of today I now own 1000 shares of HEX average price of $9.68.  100 shares of HEE $9.62I did not buy any HEP or HEF I own plenty of gold resource stocks plus MMP.un and I own too many financials to want to add HEF or ZWB to the mix.  The volatility of the share price may settle down once a dividend track record is established.  The covered call earnings are always going

[umbada]

"out of curiosity, how many shares does everyone own? "I prefer to ask what percentage of one's portfolio is in a stock. For me it's about 4% but I would have no problem going to 15%.

[themangokid]

Hey Banner,I should have mentioned I dont expect a div of 15% annualized every month, or even the majority of the months. A consistent 8%-10% would be nice though.  On the months the divs are less than the average, on account of bull months where the calls are excersized, is it unrealistic to expect that smaller than normal div will be partially offset or accompanied by a higher NAV

[gwplant]

Margin is the devil's juice....margin has to be the biggest killer of profits there is...JMO having learned the hard way that margin calls are not a fun ordeal.

[spazzman]

 Had a sigh of relief when I heard today, Bernanke reiterated the Fed's pledge to keep interest rates near zero.My TD margin account is currently at 3.99%  The portfolio is earning 18%  so I net ~14%However this could change in a heart beat, the threat of a bond bubble is real.  Had to increase my cash buffer after this last correction.  

[howitt]

I am enjoying the comments on this board. I have stepped into some HEX and ZWB as a result of the input. Some help or advice pls. I am retired looking for max income minimized risk Have found return of capital funds: SCI.UN AV.Un and Claymore adv. bonds. As I understand it thru a forward contract all returns are return of cap. When nbv gets to zero..aabout  8 yrs. returns are then treated as

[Banner403]

Yes, as far as I know the losses incurred of rebuying underlying equities (due to being called away) should be taken out of the dividend foremost. If this is the case, the dividend should be hit, how hard is yet to be seen. We haven't yet seen a bullish month, so its hard to say how low the div will go. If we're getting called away, I can live with the underlying equity rising - I believe

[Rainham]

I am also retired and chase return with some amount of safety Until 5yr ago I did my own tax's. Then I branched into Flow Through shares and had an accounting firm file for me . I compared my  results with theirs and found I was shorting myself. Return of cap[ital puts you in the top 10 reasons for CRA to question your filing. I own HEX, SBN and LBS all return of