Positive
Seeking Alpha
1 month ago
BITY: ~23.5% Distribution Rate While Targeting More Upside Participation In Bitcoin
Amplify Bitcoin 2% Monthly Option Income ETF (BITY) offers income-focused investors exposure to Bitcoin with a covered call strategy and monthly distributions. BITY writes weekly call options 5-10% out-of-the-money, aiming for 24% annualized premium, which allows for greater potential upside participation than its sister fund, BAGY. The ETF holds IBIT and cash equivalents, with most distributions currently classified as return of capital, which can be tax-advantaged if NAV and total returns remain positive.