AOM Dividend Type Payments

iShares Core 40/60 Moderate Allocation ETF dividend

Although AOM has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares Core 40/60 Moderate Allocation ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):

iShares Core 40/60 Moderate Allocation ETF (AOM)
Bid Ask Last Change Volume P/E Market Cap
42.69 48.42 45.79 +0.17 80K - 1.5B

AOM Dividend-Like Income Using Covered Calls

With AOM at 45.79, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:

Annual Yield Annual Premium Cents/Day
3% 1.37 0.4
5% 2.29 0.6
10% 4.58 1.3

So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
 
Top 10 Open Interest For Jul 18 Expiration     Top 5 High Yield
1.NVDA dividend 6.GLD dividend   1.COGT dividend
2.SLV dividend 7.AAPL dividend   2.RUN dividend
3.SPY dividend 8.TLT dividend   3.OSCR dividend
4.IWM dividend 9.FXI dividend   4.EOSE dividend
5.TSLA dividend 10.QQQ dividend   5.ETSY dividend

Want more examples? AOK Dividend | AON Dividend