GOEX Dividend Type Payments
Although GOEX has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Global X Gold Explorers ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):
| Global X Gold Explorers ETF (GOEX) |
|---|
| Bid |
Ask |
Last |
Change |
Volume |
P/E |
Market Cap |
| 97.27 |
100.05 |
97.27 |
+6.80 |
36K |
- |
0.1B |
GOEX Dividend-Like Income Using Covered Calls
With GOEX at 97.27, 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% |
2.92 |
0.8 |
| 5% |
4.86 |
1.3 |
| 10% |
9.73 |
2.7 |
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 GOEX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Apr 17 |
100.00 |
6.50 |
88 |
7.3 |
0.00 (0.0%) |
| Jul 17 |
100.00 |
10.50 |
179 |
5.8 |
0.00 (0.0%) |
| 5% Yield On GOEX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Apr 17 |
100.00 |
6.50 |
88 |
7.3 |
0.00 (0.0%) |
| Jul 17 |
100.00 |
10.50 |
179 |
5.8 |
0.00 (0.0%) |
| 10% Yield On GOEX Using Covered Calls |
|---|
| Expiration |
Strike |
Call Bid |
Days |
Cents/Day |
Upside Potential |
| Apr 17 |
100.00 |
6.50 |
88 |
7.3 |
0.00 (0.0%) |
| Jul 17 |
100.00 |
10.50 |
179 |
5.8 |
0.00 (0.0%) |
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