Outperformance of Covered Call ETFsCovered call ETFs (XYLD, QYLD, and RYLD) have significantly outperformed their tracking indexes (SPY, QQQ, and IWM) this year.
Key stats
About Global X Russell 2000 Covered Call ETF
Home page
Inception date
Apr 17, 2019
Structure
Open-Ended Fund
Dividend treatment
Distributes
Distribution tax treatment
Ordinary income
Income tax type
Capital Gains
Max ST capital gains rate
39.60%
Max LT capital gains rate
20.00%
Primary advisor
Global X Management Co. LLC
Distributor
SEI Investments Distribution Co.
RYLD tracks the Russell 2000 index while holding a succession of one-month at-the-money option of the index. The fund follows a buy-write (or covered call) strategy on the underlying index, where it buys the constituent securities of the index, or purchases other investments with substantially identical economic characteristics. At the same time, the fund writes (or sells) call options that correspond to the index. This strategy has a few effects. One, the obligation of the sold calls limits the upside of the overall fund, and two, the premium income from the written calls protects the fund against stagnant prices or small losses.
Classification
What's in the fund
Exposure type
ETF
Stock breakdown by region
Top 10 holdings
Summarizing what the indicators are suggesting.
Oscillators
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Oscillators
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Summary
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Summary
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Summary
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Moving Averages
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Moving Averages
Neutral
SellBuy
Strong sellStrong buy
Strong sellSellNeutralBuyStrong buy
Displays a symbol's price movements over previous years to identify recurring trends.