JEPQ - GPIQ: So Far So Good In This New Fund

2024-07-08 08:37:41 ET

Summary

• Goldman Sachs Nasdaq-100 Core Premium Income ETF is a top-performing covered call fund focused on the Nasdaq index.
• The fund writes covered calls against only a portion of its positions, averaging 50%, and has seen strong performance capturing Nasdaq's upside.
• Despite concerns about valuations and potential market corrections, the fund offers a 10% annual distribution yield through covered calls and capital gains.
• It may be still time to be cautious as Nasdaq is approaching valuations it hasn't seen in 25 years.

Goldman Sachs Nasdaq-100 Core Premium Income ETF ( GPIQ ) is a covered call fund that was created late last year in response to rising popularity of similar funds such as JPMorgan Equity Premium Income ETF ( JEPI ) and JPMorgan Nasdaq Equity Premium Income ETF ( JEPQ ). So far the fund seems to be performing nicely both in terms of creating income and seeing its NAV (and share price) appreciate nicely which makes it one of the top performing covered call funds out there....

For further details see: