John Hood
BMO US High Dividend Covered Call ETF
ZWH-T
TOP PICK
Jun 13, 2025
Main thing is it's not leveraged. Holds all the big, household names. Dividends are small on US stocks, so most of the premium you're getting is from the covered calls which are capital gains. Hasn't come back from April because it doesn't have all the super-charged tech stocks. Yield is around 6-6.5%.
The yield is in the 5.5%-6% range. A covered call strategy that is pretty sustainable. A group of good quality high dividend paying companies with covered call for yield enhancement. If you are bullish, you could miss out on some returns but in a sideways to down market, a prudent choice.
A good quality holding. Depends what you are holding out of an investment. Provides more income with the covered calls. In a high growth market, you do underperform. Good for income investors.
BMO has the biggest suite of covered call strategies around the world. For US high-dividend covered-call strategies, ZWS or ZWH are really good (one hedged, one not).
Main thing is it's not leveraged. Holds all the big, household names. Dividends are small on US stocks, so most of the premium you're getting is from the covered calls which are capital gains. Hasn't come back from April because it doesn't have all the super-charged tech stocks. Yield is around 6-6.5%.