Positive
Seeking Alpha
2 months ago
FFA: This Fund Looks Decent, But Tech Exposure Hurts Diversification
FFA offers a 6.74% yield, outperforming broad equity indices and providing significant income via a covered call strategy, though lower than some peers. The fund is highly concentrated in technology, especially Microsoft and NVIDIA, which limits diversification and increases risk for investors already exposed to these stocks. Distribution coverage is solid, with a 15-year record of rising payouts and full coverage from net investment income and realized gains, supporting income reliability.