EEV Dividend Type Payments

PROSHARES ULTRA-SHORT MSCI EMER dividend

Although EEV has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on PROSHARES ULTRA-SHORT MSCI EMER to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 12:05 PM ET):

PROSHARES ULTRA-SHORT MSCI EMER (EEV)
Bid Ask Last Change Volume P/E Market Cap
45.26 45.39 45.26 -0.56 8K - 0.2B

EEV Dividend-Like Income Using Covered Calls

With EEV at 45.26, here's a table showing how big the annual "dividend" (ie. 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% 1.36 0.4
5% 2.26 0.6
10% 4.53 1.2

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:

3% Yield On EEV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 55.00 0.15 29 0.5 9.61 (21.2%)
Nov 16 60.00 0.30 57 0.5 14.61 (32.3%)
5% Yield On EEV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 53.00 0.20 29 0.7 7.61 (16.8%)
Nov 16 58.00 0.40 57 0.7 12.61 (27.9%)
10% Yield On EEV Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Oct 19 50.00 0.45 29 1.6 4.61 (10.2%)
Nov 16 53.00 0.75 57 1.3 7.61 (16.8%)

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Top 10 Open Interest For Oct 19 Expiration     Top 5 High Yield
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Want more examples? EET Dividend | EEX Dividend