BNO Dividend Type Payments
Although BNO has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on United States Brent Oil Fund, LP ETV to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 4:16 PM ET):
| United States Brent Oil Fund, LP ETV (BNO) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 30.74 | 30.76 | 30.72 | -0.03 | 435K | - | 0.2B |
BNO Dividend-Like Income Using Covered Calls
With BNO at 30.72, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:
| Annual Yield | Annual Premium | Cents/Day |
|---|---|---|
| 3% | 0.92 | 0.3 |
| 5% | 1.54 | 0.4 |
| 10% | 3.07 | 0.8 |
So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:
| 3% Yield On BNO Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 31.00 | 0.90 | 38 | 2.4 | 0.24 (0.8%) | |
| Oct 17 | 31.00 | 1.80 | 101 | 1.8 | 0.24 (0.8%) | |
| 5% Yield On BNO Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 31.00 | 0.90 | 38 | 2.4 | 0.24 (0.8%) | |
| Oct 17 | 31.00 | 1.80 | 101 | 1.8 | 0.24 (0.8%) | |
| 10% Yield On BNO Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 31.00 | 0.90 | 38 | 2.4 | 0.24 (0.8%) | |
| Oct 17 | 31.00 | 1.80 | 101 | 1.8 | 0.24 (0.8%) | |
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| Top 10 Open Interest For Jul 18 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | GLD dividend | 1. | RARE dividend | |
| 2. | SLV dividend | 7. | AAPL dividend | 2. | TMC dividend | |
| 3. | SPY dividend | 8. | TLT dividend | 3. | CELC dividend | |
| 4. | TSLA dividend | 9. | IBIT dividend | 4. | AEVA dividend | |
| 5. | IWM dividend | 10. | QQQ dividend | 5. | PRAX dividend | |
Want more examples? BNL Dividend | BNS Dividend
