NEOS S&P 500 High Income ETF TodaySPYINEOS S&P 500 High Income ETF$51.96 +1.31 (+2.58%) 52-Week Range$41.60▼$52.78Dividend Yield11.84%Assets Under Management$5.43 billionAdd to WatchlistOn Sept. 17, the Federal Reserve finally gave Wall Street what it had been asking for. The central bank cut its effective federal funds rate (EFFR) for the first time since 2024. Unsurprisingly, the market reacted favorably and is up 1.42% since that announcement.  However, debt securities are becoming increasingly unappeal ...

With back in bullish mode it’s a good time to run Barchart’s Bull Call Spread Screener. A bull call spread is an options strategy that a trader uses when they believe the price of an underlying stock will move higher in the short term. More News from Barchart To execute the strategy, a trader would buy a call option and sell a further out-of-the-money call option with the following conditions: Both call options must use the same underlying stock Both call options must have the same expiration Both ...

Collars are one of the cheapest ways to protect your assets. However, the strategy comes with limited upside. In the event of an assignment - which will happen if the short call is in the money at expiration - you'll be obligated to sell 100 shares of the underlying asset at the strike price, effectively capping your profit. Of course, nothing will prohibit you from buying back the underlying asset.The objective of a collar is to establish downside protection for an owned asset by virtue of the long put, wh ...

A short straddle is an advanced options strategy used when a trader is seeking to profit from an underlying stock trading in a narrow range. To execute the strategy, a trader would sell a call and a put with the following conditions: More News from Barchart Both options must use the same underlying stock Both options must have the same expiration Both options must have the same strike price Since it involves having to sell both a call and a put, the trader gets to collect two premiums up-front, ...

Discover how the long straddle options strategy can profit from market volatility. Learn its mechanics, risk factors, and when best to apply it for successful trading. https://t.co/eV7QAbkQDB ...

Discover how covered calls can generate income and manage investment risks. Learn about maximizing returns and minimizing downsides with this options strategy. https://t.co/2vw3p66nNw ...

Core Insights - The article discusses the advantages and mechanics of covered call ETFs, specifically SPYI and GPIX, which generate income through selling covered calls on S&P 500 components [4][5][6]. Group 1: Fund Overview - SPYI and GPIX are covered call funds that buy long stocks from the S&P 500 and sell covered calls to generate income, yielding between 8% to 12% compared to the S&P 500's 1% yield [4][5]. - Both funds have unique mechanisms to manage upside caps, allowing them to participate in market gains more effectively than traditional covered call funds [5][7]. Group 2: Options Management - The ETFs leverage their size to negotiate better options commissions, allowing them to use bespoke options contracts with lower spreads and reduced counterparty risk [8][10]. - SPYI employs a strategy of frequently rolling its upside options, which can lead to increased upside potential over time [14][15]. - GPIX uses a dynamic overwrite strategy, modulating the portion of the portfolio on which calls are sold, allowing for better upside participation during market rebounds [16][17]. Group 3: Market Performance - The funds are relatively new, and while they have shown resilience during recent market volatility, their performance in historical bear markets remains uncertain [19][20]. - They are expected to provide some downside protection through income distribution, but they will lag in bull markets due to their income-focused strategy [24][25]. Group 4: Tax Implications - Income generated from options within these ETFs is classified as return of capital by the IRS, allowing investors to defer taxes on this income until they sell their shares [26][28]. - This tax treatment can lead to a lower overall tax bill for investors, as long-term capital gains rates are typically lower than ordinary income tax rates [30].

Group 1 - The investment environment is subject to change over time, and historical performance does not guarantee future results [1][2] - The true test of an investment occurs during adverse market conditions, highlighting the importance of resilience [1] - Many funds and individual companies may face challenges in fluctuating economic conditions [1]

Core Viewpoint - The article emphasizes the importance of investing in high-quality growth and momentum stocks that are reasonably priced, with a focus on long-term performance and market outperformance [1]. Group 1: Investment Strategy - The investment strategy involves focusing on growth and momentum stocks that are expected to outperform the market over the long term [1]. - The analyst has a history of advising investors to buy at market lows, specifically mentioning a recommendation in March 2009 during the financial crisis, which led to significant market gains [1]. Group 2: Market Performance - From 2009 to 2019, the S&P 500 increased by 367%, while the Nasdaq saw an increase of 685%, highlighting the potential for substantial returns in the growth stock sector [1]. Group 3: Investment Philosophy - The analyst aims to assist investors in making money through investments in high-quality growth stocks, indicating a commitment to long-term value creation [1].

Investment Strategy - President Trump's media company invested $300 million in a Bitcoin-linked options strategy [1] Market Impact - The investment signals a potential shift in the company's financial strategy towards cryptocurrency-related assets [1]