IEFA Dividend Type Payments

Although IEFA has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares Core MSCI EAFE ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 11:05 AM ET):

iShares Core MSCI EAFE ETF (IEFA)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
87.51	87.52	87.51	+0.29	2.6M	-	106B

IEFA Dividend-Like Income Using Covered Calls

With IEFA at 87.51, 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%	2.63	0.7
5%	4.38	1.2
10%	8.75	2.4

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 IEFA Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 19	90.00	0.35	45	0.8	2.48 (2.8%)
Nov 21	88.00	0.40	17	2.4	0.48 (0.5%)

5% Yield On IEFA Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 21	88.00	0.40	17	2.4	0.48 (0.5%)
Mar 20	88.00	2.40	136	1.8	0.48 (0.5%)

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Top 10 Open Interest For Nov 21 Expiration				Top 5 High Yield
1.	IBIT dividend	6.	TLT dividend	1.	TTD dividend
2.	KVUE dividend	7.	INTC dividend	2.	SOUN dividend
3.	NVDA dividend	8.	ASST dividend	3.	ENVX dividend
4.	SLV dividend	9.	HYG dividend	4.	LCID dividend
5.	GLD dividend	10.	SPY dividend	5.	SG dividend

Want more examples? IEF Dividend | IEI Dividend