Viewing Company BMO Covered Call Cdn Banks ETF | StockChase
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BMO Covered Call Cdn Banks ETF Stock Symbol: ZWB-T

Last Price Recorded: $18.6300 on 2017-09-25

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Date Signal Expert Opinion Price
2017-08-30 BUY Mike S. Newton, CIM FCSI

This has gone from around $21 to $19 and the yield is about 5.1%. A good entry point.


Price:
$18.080
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
BULLISH
Owned:
Unknown
2017-08-28 BUY Richard Croft

A sector play just on Canadian banks, which he likes better than a broadly diversified portfolio. His concern on a broadly diversified portfolio is the movement of different sectors in the course of a business cycle. You lose the sectors as they are rising, and you end up continuing to hold the sectors that are declining. This one is only one sector. The banks are averaging about 4.25% dividends, and about half the income comes from dividends and the other half comes from capital gains on the sale of options. They only write options on about 50% of the portfolio, so you are getting some upside anyways as banks continue to rise. A good ETF.


Price:
$18.030
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
UNKNOWN
Owned:
Yes
2017-08-21 WEAK BUY David Driscoll

You have to look at the costs of the covered calls as well as MERs for these ETFs.  The banks are so far performing the way they should.  All banks are slightly down this year.  In 2008 ALL the banks were down 40%.  He would like to be more diversified.  If we were in a long sideways market, then the covered calls would be beneficial.


Price:
$18.090
Subject:
GLOBAL
Bias:
DEFENSIVE
Owned:
Unknown
2017-06-30 COMMENT John Hood

Provides about a 5% yield, which is capital gains and dividends. Pretty much a core holding for him.


Price:
$18.200
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
UNKNOWN
Owned:
Yes
2017-06-08 COMMENT John DeGoey

The great thing about covered calls is that they offer you some upside when things are going down, but also take some of the downside away when things are going up. The “covered call” methodology regulates so that the highs are less high and the lows are less low.


Price:
$18.020
Subject:
PERSONAL FINANCE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-06-05 COMMENT Larry Berman CFA, CMT, CTA

Dividends aren’t going up.  The premium on the options is lower.  The dividends on the underlying banks are increasing, but the premium on the covered calls has been coming down.


Price:
$17.900
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-05-11 PAST TOP PICK John Hood

(Top Pick Jan 19/16, Up 34%)  Another core holding.  BMO has a number of good covered call strategies.


Price:
$17.980
Subject:
OPTIONS & ETFs
Bias:
BULLISH on US MARKET
Owned:
Yes
2017-04-17 COMMENT John DeGoey

Individual banks have done a lot better, so why should a person buy this ETF? If you have enough money to buy all 5 banks individually and you don’t mind paying for 5 trade tickets, then you might very well be better off buying the 5 banks. If you are worried about banks going sideways, this at least gives you the chance to make some money on the covered call writing that this ETF does.


Price:
$18.650
Subject:
PERSONAL FINANCE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-04-10 BUY Larry Berman CFA, CMT, CTA

In a strong upward market it will underperform the equal weight without covered calls.  Despite what others have said, these are not bad for long term holds.  They do not, however, replace fixed income because you have equity exposure.


Price:
$18.870
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-04-03 COMMENT Larry Berman CFA, CMT, CTA

30% was return of capital in 2016.  In the beginning of 2016 there was about 65 million units outstanding.  By the end there were 5 million new units.  They then had to pay out on additional shares.  They do a return on capital so that everyone gets the same amount of payout.  You are not getting your own money back.  It is an adjustment because there are now more units.  This is the structure of a growing fund.


Price:
$18.890
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-03-29 BUY Daniel Straus

Covered call ETFs from BMO etc. pay mostly eligible dividends.  A TFSA should have VERY taxable things in it and put ETFs like this one OUTSIDE the TFSA.


Price:
$18.970
Subject:
ETF's
Bias:
BULL on GLOBAL GROWTH
Owned:
Unknown
2017-03-27 COMMENT Larry Berman CFA, CMT, CTA

Covered call banks, but ZWC-T covers more economic sectors.  Banks are 21% of the TSX and are that potion of ZWC-T.


Price:
$18.870
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-02-27 COMMENT Larry Berman CFA, CMT, CTA

There is no real negative from the covered call strategy in a dropping market unless the stock goes down by large up & down movements.  However, it enhances your yield while you are waiting out the downturn.


Price:
$19.200
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-02-06 COMMENT Larry Berman CFA, CMT, CTA

The MER is in the 40-50 basis point range.  The enhanced yield is created with an option writing overlay.  They write one standard deviation out of the money.  The options can enhance yield 1.5 percentage points over time.


Price:
$18.940
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
Unknown
2017-01-16 BUY on WEAKNESS Larry Berman CFA, CMT, CTA

It has a covered call overlay.  A lot of good news is priced into the banks so he would not be chasing this one, but be a dup-buyer in the Canadian banks.


Price:
$18.710
Subject:
NORTH AMERICAN - LARGE & ETFs
Bias:
UNKNOWN
Owned:
No
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