TBF Dividend Type Payments

Although TBF has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on ProShares Short 20+ Year Treasury to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Tue 4:16 PM ET):

ProShares Short 20+ Year Treasury (TBF)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
24.26	24.61	24.46	-0.06	25K	-	0.2B

TBF Dividend-Like Income Using Covered Calls

With TBF at 24.46, 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%	0.73	0.2
5%	1.22	0.3
10%	2.45	0.7

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 TBF Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Jan 17	25.00	0.15	25	0.6	0.39 (1.6%)
Jun 20	25.00	0.80	179	0.4	0.39 (1.6%)

5% Yield On TBF Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Jan 17	25.00	0.15	25	0.6	0.39 (1.6%)
Jun 20	25.00	0.80	179	0.4	0.39 (1.6%)

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

Top 10 Open Interest For Jan 17 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	XLF dividend	1.	NMRA dividend
2.	SLV dividend	7.	SPY dividend	2.	RUM dividend
3.	AAPL dividend	8.	TSLA dividend	3.	X dividend
4.	EEM dividend	9.	IWM dividend	4.	CLSK dividend
5.	INTC dividend	10.	TLT dividend	5.	QUBT dividend

Want more examples? TBBK Dividend | TBI Dividend