GSG Dividend Type Payments

iShares GSCI Commodity-Indexed Trust Fund dividend

Although GSG has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on iShares GSCI Commodity-Indexed Trust Fund to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Mon 4:16 PM ET):

iShares GSCI Commodity-Indexed Trust Fund (GSG)
Bid Ask Last Change Volume P/E Market Cap
21.87 22.35 21.87 -0.19 838K 23 0.5B

GSG Dividend-Like Income Using Covered Calls

With GSG at 21.87, 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% 0.66 0.2
5% 1.09 0.3
10% 2.19 0.6

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 GSG Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Apr 17 23.00 0.10 39 0.3 0.65 (3.0%)
Oct 17 23.00 0.65 222 0.3 0.65 (3.0%)
5% Yield On GSG Using Covered Calls
Expiration Strike Call Bid Days Cents/Day Upside Potential
Jul 18 23.00 0.50 131 0.4 0.65 (3.0%)

Want to increase dividends with covered calls?  Sign Up For A Free Trial

 
 
Top 10 Open Interest For Mar 21 Expiration     Top 5 High Yield
1.NVDA dividend 6.KWEB dividend   1.WOLF dividend
2.SPY dividend 7.QQQ dividend   2.QBTS dividend
3.IWM dividend 8.INTC dividend   3.CLSK dividend
4.FXI dividend 9.TSLA dividend   4.GRPN dividend
5.EEM dividend 10.SLV dividend   5.ADBE dividend

Want more examples? GSEW Dividend | GSHD Dividend