Richard Croft
Eaton Vance Tax-Man Buy-Write
ETB-N
COMMENT
May 26, 2014
How do they select the stocks and does he get dividends, capital gains, or some of each? To see how they pick stocks, you would be better off looking at the prospective. If this is an actively managed product, and you are writing options against a component of it, he would have some reservations about the strategy. It is tough to be consistently good. You are getting both dividends and capital gains. Income from the option premiums is taxed in the US as either a short or long term capital gain. You are also getting dividends on the underlying stocks.
The company today is about managing sustainable power and vehicle elecrification, vehicles that run further and efficiently, in sharp contrast to their past.
How do they select the stocks and does he get dividends, capital gains, or some of each? To see how they pick stocks, you would be better off looking at the prospective. If this is an actively managed product, and you are writing options against a component of it, he would have some reservations about the strategy. It is tough to be consistently good. You are getting both dividends and capital gains. Income from the option premiums is taxed in the US as either a short or long term capital gain. You are also getting dividends on the underlying stocks.