Tuesday, June 10, 2025
On March 7, 2024, Roundhill Investments launched the first 0DTE (zero days to expiration) covered call exchange-traded funds (ETFs). These funds introduce new strategies to the ETF space, enabling fund managers to respond to rapidly changing markets with greater speed and agility. Traditional covered call trading involves owning an underlying asset (such as individual stocks […]
The world of high-yield, option-strategy ETFs continues to expand. Nasdaq recently released updated data, showing the growth in assets. We launched our ETF Income Edge newsletter service in February 2024 and have been busy keeping up with fund launches, new strategies, and comparing returns. When we were preparing to launch ETF Income Edge, I had […]
So far this year, the U.S. stock market has experienced a bear market, followed by a recovery. As I write this, the S&P 500 is right at breakeven for the year to date. It makes for an interesting time to see how the ETFs using covered call/option strategies to generate income have fared. Of the […]
I recently researched an energy company – Vitesse Energy LLC – whose business motto included the phrase “the velocity of capital compounding.” That idea caught my eye and applies to the power of compounding dividend or interest income. I like using the word “velocity” to indicate the speed at which gains can happen. By the […]
In mid-April, Simplify ETFs launched a pair of what they call “barrier ETFs,” which use an advanced option strategy to generate above-average income for investors. The strategy is fascinating and hopefully profitable. Barrier put options have binary outcomes. Suppose the underlying asset is above the barrier at expiration. In that case, the option expires without […]
The gains from the so-called “Magnificent Seven” stocks powered the 2023–2024 bull market. These mega-cap tech stocks—Tesla, Microsoft, Nvidia, Meta Platforms, Amazon, Alphabet (Google), and Apple—comprise over a third of the cap-weighted stock market indexes. The only Magnificent Seven tracking ETF, the Roundhill Magnificent Seven Covered Call ETF (MAGY), launched on April 11, 2023, and […]
Known for dividends and attractive yields, energy midstream stocks have been a hot stock sector for the last five years. For example, the Global X MLP & Energy Infrastructure ETF (MLPX) returned 239% over the last five years. The 2025 bear market (mid-February through early April) saw the midstream sector drop by 20%, similar to […]
President Trump’s “Liberation Day” announcement of imposing significant tariffs on the rest of the world triggered a steep and scary sell-off in the stock market. The S&P 500 and Nasdaq 100 indices reached bear market (more than 20% down) from their mid-February record highs. The fast and furious market crash had investors—both individuals and professionals—selling […]
Seven large “mega-cap” stocks drove the bull market returns of 2023 and 2024. Due to their market values, these stocks—Apple, Microsoft, Nvidia, Alphabet, Amazon, Meta Platforms, and Tesla—drive the returns of the S&P 500 and QQQ indexes. They are also widely owned by individual investors. The Roundhill Magnificent Seven ETF (MAGS) launched in April 2023. […]
Recently, I ran across a list of the “7 Deadly Investing Sins Clients Make.” The article was aimed at financial advisors, but I think regular investors would benefit from understanding the list items. Let’s go through the “investing sins,” and I will share my thoughts. Forgetting Arithmetic My newsletter subscribers manage their own investments, so […]
