FSMD Dividend Type Payments

Although FSMD has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Fidelity Small-Mid Multifactor ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 11:30 AM ET):

Fidelity Small-Mid Multifactor ETF (FSMD)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
41.69	41.75	41.72	-0.56	33K	-	0.0B

FSMD Dividend-Like Income Using Covered Calls

With FSMD at 41.72, 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%	1.25	0.3
5%	2.09	0.6
10%	4.17	1.1

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 FSMD Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
May 16	42.00	0.80	94	0.9	0.25 (0.6%)

5% Yield On FSMD Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
May 16	42.00	0.80	94	0.9	0.25 (0.6%)

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Want more examples? FSMB Dividend | FSP Dividend