YieldMax™ ETFs seek to generate monthly income by pursuing options-based strategies on one or more underlying securities. YieldMax™ ETFs aim to harvest compelling yields from assets that are not typically associated with monthly income…  | By likesmoneystudies on September 8, 2024 | YieldMax™ ETFs seek to generate monthly income by pursuing options-based strategies on one or more underlying securities. YieldMax™ ETFs aim to harvest compelling yields from assets that are not typically associated with monthly income. One primary risk is the potential opportunity cost, as the strategy may limit the ETF's participation in significant market upswings. Another risk is that if the market experiences a sharp and sustained decline, the downside protection provided by the covered call strategy may not fully offset losses. In other words there are trade offs. One trade off is limiting capital appreciation for consistent monthly dividends. Another trade off to consistent monthly dividends is exposure to full participation of drawdowns. My YieldMax Rotation Strategy is to participate in the rallies and avoid the drawdowns. To do this I look at the different YieldMAX ETFs against the performance versus the SPY. Using a weekly chart with a bullish/bearish crossover of the 10/20 MA's as the buy/sell signal limits the downside drawdowns while participating in the capital appreciation and monthly distributions. This week's updates: Buy Signals Mixed Signals Sell Signals | | | |  | You can also reply to this email to leave a comment. | | | | |
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