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Showing 1 to 15 of 189 entries
WAIT
If the Trudeau government wins, then they will impose a surtax. He would wait here since it is not priced in probably. There is also volatility from Chinese real estate and US debt ceiling. Gotta love Canadian banks long term. Could get a better deal.
E.T.F.'s
DON'T BUY
An income based strategy. Would rather own the banks directly rather than the covered call overlay. Probably not getting much from it since you give up some on the upside.
E.T.F.'s
PAST TOP PICK
(A Top Pick Apr 08/21, Up 51%)Note: His 3rd past pick was cash. It comes down to buying at the right. Have a strategy before volatility hits, which is what he did in April 2020. Good returns.
E.T.F.'s
COMMENT

The profitability of banks is net interest margins. The steepening of the yield curve has led to banks being more profitable. A flattening yield curve is a headwind. We are not there yet. When the yield curve starts to flatten. ZEB is good to capture upside, and ZWB for when it will go sideways to down.

E.T.F.'s
COMMENT
Different ways to play the Canadian banks. There is some volatility but there is yield to compensate.
E.T.F.'s
COMMENT

ZEB is equal weight where as ZWB is equal weight banks with a covered call overlay. When you think the markets will go sideways or down, covered calls will perform better. However, the covered call gives away some of the upside potential so if you are bullish on growth, forego the covered call.

E.T.F.'s
COMMENT
The caller requested suggestions for higher dividend ETF. There's a number of ways to play it. Go to an ETF website to see which ETF fits your profile. Covered calls provide higher dividends.
E.T.F.'s
BUY
There are so many ETFs, so it depends what you're looking for. A Canadian bank ETF from any vendor will give you income and growth, like ZWB-T. An ETF reduces volatility vs. owning individual stocks.
E.T.F.'s
COMMENT

There are two elements to covered call strategies. There is the underlying stocks, and then the option premium. Volatility will continue to be high for the next couple years. Premiums will remain elevated. FIE pays back a part of your money back. There are a couple different elements to consider.

E.T.F.'s
COMMENT

Canadian banks are much better run and offer good dividend yields compared to elsewhere in the world. There is some risk in the housing sector and some challenges to growth. He would favour ZWB right now. Once markets correct 10-15%, get out of the ZWB and get ZEB for the growth.

E.T.F.'s
COMMENT
The rule of thumb is, if you are bullish, then you don't want the headwind of the covered call overlay. If you are concerned about sideways or downside risk, then you want the additional yield from the covered call.
E.T.F.'s
DON'T BUY
ZWB vs. ZWC He'd stay away from financial services, as with the low rates it's hard for the banks to be profitable. He'd rather go with the broader index. The more volatile a price, the higher the premium you'll get on a covered call. The covered call strategy here hasn't delivered in this volatile environment.
E.T.F.'s
BUY
Not a bad way to play the banks. Banks have underperformed. Historically, they've done quite well in August and September. But now they're struggling. So until they start to show some real outperformance, the covered call is preferable to owning them outright.
E.T.F.'s
COMMENT

ZWC vs. ZWB Both offer additional income through covered calls. ZWC yields 8.4% plus the dividend and premium from the covered call strategy. ZWB (Canadian banks) pays 6.5%. Both you pay 72 basis points in MER. ZWC is more diverse with banks, pipelines and telecoms so he prefers ZWC. Warning: long-term, covered calls can lag the underlying securities if there's a bull market in those securities. In an up market, he prefers the stocks themselves or other ETFs.

E.T.F.'s
TOP PICK
This has tracked well with the market, despite having covered calls. He has worked closely with the managers and has even sat on their trading desk. Its MER is 0.75%. About 50% does not have covered calls sold against the holdings. Yield 7.21%
E.T.F.'s
Showing 1 to 15 of 189 entries

BMO Covered Call Canadian Banks ETF(ZWB-T) Rating

Ranking : 3 out of 5

Bullish - Buy Signals / Votes : 2

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 2

Total Signals / Votes : 4

Stockchase rating for BMO Covered Call Canadian Banks ETF is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

BMO Covered Call Canadian Banks ETF(ZWB-T) Frequently Asked Questions

What is BMO Covered Call Canadian Banks ETF stock symbol?

BMO Covered Call Canadian Banks ETF is a Canadian stock, trading under the symbol ZWB-T on the Toronto Stock Exchange (ZWB-CT). It is usually referred to as TSX:ZWB or ZWB-T

Is BMO Covered Call Canadian Banks ETF a buy or a sell?

In the last year, 4 stock analysts published opinions about ZWB-T. 2 analysts recommended to BUY the stock. 2 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for BMO Covered Call Canadian Banks ETF.

Is BMO Covered Call Canadian Banks ETF a good investment or a top pick?

BMO Covered Call Canadian Banks ETF was recommended as a Top Pick by on . Read the latest stock experts ratings for BMO Covered Call Canadian Banks ETF.

Why is BMO Covered Call Canadian Banks ETF stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is BMO Covered Call Canadian Banks ETF worth watching?

4 stock analysts on Stockchase covered BMO Covered Call Canadian Banks ETF In the last year. It is a trending stock that is worth watching.

What is BMO Covered Call Canadian Banks ETF stock price?

On 2021-09-22, BMO Covered Call Canadian Banks ETF (ZWB-T) stock closed at a price of $20.45.