KOL Dividend Type Payments

Although KOL has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on VanEck Vectors Coal ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 1:25 PM ET):

VanEck Vectors Coal ETF (KOL)
Bid Ask Last Change Volume P/E Market Cap
13.63 13.68 13.67 -0.01 7K - 0.0B

KOL Dividend-Like Income Using Covered Calls

With KOL at 13.67, 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% 0.41 0.1
5% 0.68 0.2
10% 1.37 0.4

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 KOL Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 18 14.00 0.15 63 0.2 0.32 (2.3%)
Jul 19 14.00 0.40 155 0.3 0.32 (2.3%)
5% Yield On KOL Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 18 14.00 0.15 63 0.2 0.32 (2.3%)
Jul 19 14.00 0.40 155 0.3 0.32 (2.3%)

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Top 10 Open Interest For Mar 15 Expiration     Top 5 High Yield
1.SPX dividend 6.EWZ dividend   1.ICPT dividend
2.EEM dividend 7.GE dividend   2.MAT dividend
3.SPY dividend 8.XOP dividend   3.SGMO dividend
4.FXI dividend 9.BAC dividend   4.CGC dividend
5.QQQ dividend 10.JD dividend   5.CRON dividend

Want more examples? KOIN Dividend | KOLD Dividend