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 Fri 4:16 PM ET):

ProShares Short 20+ Year Treasury (TBF)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
24.10	24.50	24.16	+0.12	149K	-	0.2B

TBF Dividend-Like Income Using Covered Calls

With TBF at 24.16, 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%	0.72	0.2
5%	1.21	0.3
10%	2.42	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
Dec 20	25.00	0.15	36	0.4	0.50 (2.1%)
Jan 17	25.00	0.25	64	0.4	0.50 (2.1%)

5% Yield On TBF Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Dec 20	25.00	0.15	36	0.4	0.50 (2.1%)
Jan 17	25.00	0.25	64	0.4	0.50 (2.1%)

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

Top 10 Open Interest For Dec 20 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	QQQ dividend	1.	SAVA dividend
2.	SPY dividend	7.	XLF dividend	2.	RKLB dividend
3.	EEM dividend	8.	KWEB dividend	3.	LUNR dividend
4.	FXI dividend	9.	TLT dividend	4.	NMRA dividend
5.	IWM dividend	10.	KRE dividend	5.	CRVS dividend

Want more examples? TBBK Dividend | TBI Dividend