RPV Dividend Type Payments
Although RPV has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Invesco S&P 500 Pure Value ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 11:55 AM ET):
| Invesco S&P 500 Pure Value ETF (RPV) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 104.91 | 104.93 | 104.92 | -0.25 | 272K | - | 0.3B |
RPV Dividend-Like Income Using Covered Calls
With RPV at 104.92, 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% | 3.15 | 0.9 |
| 5% | 5.25 | 1.4 |
| 10% | 10.49 | 2.9 |
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 RPV Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Mar 20 | 105.00 | 0.95 | 96 | 1.0 | 0.07 (0.1%) | |
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| Top 10 Open Interest For Dec 19 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | EEM dividend | 1. | NKTR dividend | |
| 2. | SPY dividend | 7. | TLT dividend | 2. | OMER dividend | |
| 3. | IBIT dividend | 8. | TSLA dividend | 3. | SGML dividend | |
| 4. | IWM dividend | 9. | SLV dividend | 4. | TLRY dividend | |
| 5. | QQQ dividend | 10. | NFLX dividend | 5. | TE dividend | |
Want more examples? RPT Dividend | RRC Dividend
