XYLD Dividend Information for 2024: Covered Call ETF History and Global X Funds Data
XYLD - Market Position
| Ticker Symbol | Product Type | Asset Class | Strategy | Payment Frequency | Geographic Focus | Expense Ratio | Sponsor |
|---|---|---|---|---|---|---|---|
| XYLD | ETF | Equity Dividend ETF | Covered Call | Monthly | Global | 0.60% | Global X Funds |
XYLD Overview - The Global X S&P 500 Covered Call ETF
The Global X S&P 500 Covered Call ETF (XYLD) is an exchange-traded fund designed to provide investors with exposure to the S&P 500 while employing a covered call strategy. This strategy involves holding a long position in the underlying S&P 500 stocks while simultaneously writing (selling) call options on those same stocks. The covered call approach aims to generate income for investors through the premiums received from selling the call options, which can help offset potential downside risks or enhance overall returns.
XYLD's investment objective is to track the performance of the CBOE S&P 500 2% OTM BuyWrite Index. This index reflects the returns generated from a hypothetical covered call strategy on the S&P 500 Index. By implementing this strategy, XYLD seeks to offer investors a balance between income generation and capital appreciation potential.
As an ETF, XYLD provides investors with the liquidity and transparency associated with exchange-traded funds. Its expense ratio of 0.60% makes it a relatively cost-effective option for gaining exposure to the S&P 500 with an added income-generating component. Investors interested in dividend-oriented strategies or seeking alternative income sources within the equity market may find XYLD to be a compelling investment choice.
XYLD - Price / Yield
XYLD - Portfolio and Asset Allocation
The Global X S&P 500 Covered Call ETF (XYLD) focuses on a unique investment strategy that combines exposure to the S&P 500 with a covered call approach. This strategy involves holding a long position in the underlying S&P 500 stocks while selling call options on those same stocks to generate income.
XYLD's holdings reflect this strategy, including companies like Microsoft (MSFT), Apple Inc. (AAPL), Nvidia Corporation (NVDA), and Amazon.com, Inc. (AMZN), among others. These holdings are chosen for their dividend-paying capabilities and potential for capital appreciation within the S&P 500 index.
The portfolio of XYLD is structured to provide investors with exposure to a diversified range of large-cap companies while leveraging the income-generating potential of covered call options. This approach aims to offer investors a balance between dividend income and capital growth within the equity market.
Investors interested in XYLD may find its unique strategy appealing, especially for those seeking income generation from their investments while participating in the potential upside of the S&P 500 index.
Top 10 Holdings
As of May 7, 2024, the top 10 holdings of the Global X S&P 500 Covered Call ETF (XYLD) are:
| Name | Weight |
|---|---|
| Microsoft (MSFT) | 7.10% |
| Apple Inc. (AAPL) | 6.03% |
| Nvidia Corporation (NVDA) | 5.09% |
| Amazon.com, Inc. (AMZN) | 4.06% |
| Alphabet Inc. Class A (GOOGL) | 2.36% |
| Meta Platforms, Inc. (META) | 2.34% |
| Alphabet Inc. Class C (GOOG) | 2.00% |
| Berkshire Hathaway B (BRK.B) | 1.75% |
| Eli Lilly And Company (LLY) | 1.45% |
| JPMorgan Chase & Co. (JPM) | 1.34% |
Asset Allocation
The Global X S&P 500 Covered Call ETF (XYLD) has the following asset allocation as of May 7, 2024:
| Sector | Weight |
|---|---|
| Technology | 30.11% |
| Financial | 12.59% |
| Healthcare | 12.25% |
| Consumer Cyclical | 11.56% |
| Communication Services | 9.30% |
| Industrials | 8.32% |
| Consumer Defensive | 4.98% |
| Energy | 4.03% |
| Utilities | 2.36% |
| Basic Materials | 2.20% |
| Real Estate | 2.18% |
Dividend Yield and Distribution History
| Section | Details |
|---|---|
XYLD Dividend Data |
The Global X S&P 500 Covered Call ETF (XYLD) pays monthly dividends. The most recent ex-dividend date was on April 18, 2024, with a dividend payment of $0.1811 per share on April 26, 2024. |
XYLD Dividend Yield |
As of April 26, 2024, the 30-day SEC yield for XYLD is 9.51%. This means that for every $100 invested in the fund, investors would receive $9.51 in dividends per year, assuming the yield remains constant. |
XYLD Dividend History |
XYLD has a history of paying monthly dividends. The dividend payments may fluctuate based on the performance of the underlying dividend-paying stocks held by the fund. |
XYLD Dividend Growth |
XYLD's dividend payments are dependent on the dividend growth and performance of the underlying stocks in the fund's portfolio. The fund's investment strategy focuses on companies with a history of consistent dividend growth, which may contribute to increasing dividend payments over time. However, dividend growth is not guaranteed. |
XYLD Dividend Stability |
XYLD aims to provide a relatively stable income stream by employing a covered call strategy and investing in high-quality, dividend-paying stocks within the S&P 500 index. However, the dividend payments are not guaranteed and may be affected by changes in market conditions or the performance of the underlying stocks in the fund's portfolio. |
XYLD - Chart
XYLD - Comparative Analysis
Let's compare XYLD with prominent competitors, focusing on key aspects like performance, fees, and strategy: (as of May 2024)
| XYLD | SPYD | VOO | |
|---|---|---|---|
| Investment Focus | High dividend yield through a covered call strategy on the S&P 500 index | High-dividend-yielding U.S. stocks with a focus on dividend consistency and growth | Tracks the S&P 500 index, providing exposure to large-cap U.S. stocks |
| Current Yield | 9.51% | 4.22% | 1.28% |
| Expense Ratio | 0.60% | 0.07% | 0.03% |
| Investment Strategy | Utilizes a covered call strategy on the S&P 500, aiming for enhanced yield with reduced volatility | Focuses on high-dividend-paying U.S. stocks with potential for dividend growth | Passively tracks the S&P 500, providing exposure to a broad range of large-cap U.S. stocks |
| Strengths | Higher yield than competitors, potential for reduced volatility | Focus on dividend growth potential, low expense ratio | Low expense ratio, broad exposure to large-cap U.S. stocks |
| Weaknesses | Higher expense ratio compared to competitors, potential impact of covered call strategy on returns | Lower yield than XYLD, potential impact of dividend growth focus on returns | Lower yield than XYLD and SPYD, passively managed |
Dividend History (Last 5 distributions)
| Ex-Dividend Date | Cash Amount | Record Date | Pay Date |
|---|---|---|---|
| Apr 22, 2024 | $0.34 | Apr 23, 2024 | Apr 30, 2024 |
| Mar 18, 2024 | $0.32 | Mar 19, 2024 | Mar 26, 2024 |
| Feb 20, 2024 | $0.30 | Feb 21, 2024 | Feb 28, 2024 |
| Jan 22, 2024 | $0.31 | Jan 23, 2024 | Jan 30, 2024 |
| Dec 28, 2023 | $0.29 | Dec 29, 2023 | Jan 08, 2024 |
News
Technical Analysis
Additional Information and Risks
In conclusion, XYLD offers investors an opportunity to gain exposure to dividend stocks while utilizing a covered call ETF strategy. The dividend yield has been consistent, with a track record dating back to 2013, providing a reliable source of income for investors.
However, it's important to note some potential risks. The stock price may be influenced by market trends and trading activity, impacting the share price and payout ratio. Historical data suggests a quarterly dividend payment, but future dividends are not guaranteed.
Investors should also consider the next ex-dividend date and payment dates to manage dividend expectations. Additionally, an independent analysis of the fund's fundamental measure is recommended to assess the dividend payout and payout ratio.
Overall, while XYLD presents an attractive opportunity for income investors, understanding the risks associated with stock dividends and ETF investments is crucial for making informed investment decisions.