- The Nuveen Nasdaq 100 Dynamic Overwrite Fund follows a covered call strategy on the Nasdaq-100 Index to collect premiums and provide high monthly current income distributions.
- The strategy is to sell only call options on about 55% of the assets as a long-term target to strike a balanced tradeoff between current income and total potential returns.
- This article performs a closer examination of the fund and explains how it works, especially by a comparison and contrast against a similar fund.
- The results illustrate its pros and cons in terms of income, growth, and volatility, so potential investors could make more informed decisions.
For further details see:
QQQX: An Assessment Of How It Works And Whether It's A Good Fit For You