QQQX - QQQX: 8%-Plus Yield, 9% Discount, Long-Term NAV Growth
2025-03-02 09:15:00 ET
Summary
- QQQX, a CEF, offers an 8%-plus yield by selling covered calls on NASDAQ 100 stocks, aiming for attractive returns with reduced volatility.
- QQQX has a long-term track record, with a 35% NAV/share increase since inception, and currently trades at a 9.11% discount to NAV.
- The fund's top holdings include major tech stocks like Apple, Amazon, and Meta, and it provides regular quarterly distributions with tax advantages.
- Despite some risks, such as price and call option risks, QQQX's performance and yield make it a speculative Buy for high-yield seekers.
In Friday's article , we profiled the JPMorgan Nasdaq Equity Premium Income ETF ( JEPQ ), a closed end fund, "CEF", which sells covered call options on NASDAQ stocks, in order to create income for its investors....
QQQX: 8%-Plus Yield, 9% Discount, Long-Term NAV Growth