QQQE Dividend Type Payments

Although QQQE has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on DIREXION NASDAQ-100 EQUAL WTD to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):

DIREXION NASDAQ-100 EQUAL WTD (QQQE)
Bid Ask Last Change Volume P/E Market Cap
43.68 44.15 43.99 -0.22 11K - 1.6B

QQQE Dividend-Like Income Using Covered Calls

With QQQE at 43.99, 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% 1.32 0.4
5% 2.20 0.6
10% 4.40 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 QQQE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 44.00 0.50 29 1.2 0.00 (0.0%)
Dec 21 45.00 0.35 64 0.5 0.85 (1.9%)
5% Yield On QQQE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 44.00 0.50 29 1.2 0.00 (0.0%)
Dec 21 44.00 0.95 64 1.3 0.00 (0.0%)
10% Yield On QQQE Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Nov 16 44.00 0.50 29 1.2 0.00 (0.0%)
Dec 21 44.00 0.95 64 1.3 0.00 (0.0%)

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Top 10 Open Interest For Nov 16 Expiration     Top 5 High Yield
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3.EEM dividend 8.VXX dividend   3.AMRN dividend
4.PBR dividend 9.IWM dividend   4.AMD dividend
5.QQQ dividend 10.BAC dividend   5.UVXY dividend

Want more examples? QQQC Dividend | QRTEA Dividend