Global X S&P 500 Covered Call ETF
XYLD

$40.26

0.88%

Market Cap: 2.87B

0

Funds holding %

of 6,702 funds

–

Analysts bullish %

–

News positive %

Fund manager confidence

Based on 2024 Q1 SEC filings by fund managers ($100M+ AUM)

11% more repeat investments, than reductions

Existing positions increased: 84 | Existing positions reduced: 76

10% more call options, than puts

Call options by funds: $1.44M | Put options by funds: $1.31M

0% less capital invested

Capital invested by funds: $1.07B [Q4 2023] → $1.07B (-$205K) [Q1 2024]

0.77% less ownership

Funds ownership: 38.29% [Q4 2023] → 37.51% (-0.77%) [Q1 2024]

3% less funds holding

Funds holding: 219 [Q4 2023] → 212 (-7) [Q1 2024]

23% less first-time investments, than exits

New positions opened: 24 | Existing positions closed: 31

38% less funds holding in top 10

Funds holding in top 10: 8 [Q4 2023] → 5 (-3) [Q1 2024]

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Research analyst outlook

We haven’t received any recent analyst ratings for XYLD.

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Financial journalist opinion

Zacks Investment Research

Time for Covered Call ETFs?

A covered call strategy saves investors from occasional selloffs to a large extent.

Time for Covered Call ETFs?

XYLD: A Bad Idea As The S&P 500 Continues To Climb

The recent performance of the Global X S&P 500 Covered Call ETF reinforces our long-held view that covered call option strategies on the S&P 500 are a bad idea. Although some investors may be willing to cap returns in exchange for a steady source of income, periodically selling a portion of equities effectively achieves the same outcome. In a bullish equity market, XYLD severely underperforms while leaving investors exposed to most of the downside risk.

XYLD: A Bad Idea As The S&P 500 Continues To Climb

2 Double-Digit High-Yielding ETFs I'm Buying

More restrictive interest rate environment has created a wider option space for yield-seeking investors to select the right assets. Yet, finding something that produces close to double-digit yield is not that easy and often times comes with a lot of risk. Covered call ETFs can offer both - abnormal income and relatively stable income profile.

2 Double-Digit High-Yielding ETFs I'm Buying

XYLD: All The Risk With Little Reward In The Form Of Income

Global X S&P 500 Covered Call ETF has generated strong returns from option premium income, but recent changes in implied volatility and market conditions make it a risky investment. Collapsing implied volatility has significantly reduced the potential income returns of the XYLD, with past low volatility periods resulting in income returns of just 5-6%. Extreme valuations and declining market breadth also increase the risk of steep market declines, and the XYLD may not even outperform the S&P 500 during a bear market.

XYLD: All The Risk With Little Reward In The Form Of Income

XYLD: Attractive High Yielder With An Element Of Defense

The Global X S&P 500 Covered Call ETF is a low-cost ETF that sells options using the S&P 500 index. The ETF's objective is to maximize income from covered call strategy, which limits the potential for capturing gains from the price appreciation. Yet, given the prevailing macro conditions and uncertainty around interest rates, it seems that sideways trading or a downward sloping market scenario are more realistic.

XYLD: Attractive High Yielder With An Element Of Defense

Why Covered Calls Can Make a Good Alternative

Covered call ETFs remain in focus to advisors, and as such, to asset managers. Indeed, Fidelity recently joined the growing group of well-established asset managers that offer enhanced income ETFs.

Why Covered Calls Can Make a Good Alternative

JEPI: Do Not Make The Same Mistake Two Years In A Row, Buy This Covered Call ETF Instead - Microsoft (NASDAQ:MSFT)

2023 was a year that took many by surprise, including myself.

JEPI: Do Not Make The Same Mistake Two Years In A Row, Buy This Covered Call ETF Instead - Microsoft (NASDAQ:MSFT)

Strong Performing Covered Call ETFs

Earlier in March, I joined ETF Prime with Nate Geraci. We discussed the status of his 2024 ETF predictions.

Strong Performing Covered Call ETFs

XYLD: Continuing To Climb Higher And Generating A 9.72% Yield

Covered-call ETFs are losing appeal as new products with different risk mitigation strategies emerge. The market is looking for Fed Chair Powell to provide more information on what data would instill confidence in starting a rate cutting cycle. Global X S&P 500® Covered Call ETF, an income-focused ETF, may be an interesting position for income investors looking to diversify their income mix.

XYLD: Continuing To Climb Higher And Generating A 9.72% Yield

XYLD: Low Volatility Limits The Yield

The S&P 500 has rallied in 16 of the past 18 weeks, driven by AI and weight-loss drug optimism, though market breadth has broadened in the past month. The CBOE Volatility Index is low, making covered call plays less ideal due to fewer income generation opportunities.

XYLD: Low Volatility Limits The Yield

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