VSS Dividend Type Payments
Although VSS has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Vanguard FTSE All-Wld ex-US SmCp Idx ETF to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Wed 1:30 PM ET):
| Vanguard FTSE All-Wld ex-US SmCp Idx ETF (VSS) | ||||||
|---|---|---|---|---|---|---|
| Bid | Ask | Last | Change | Volume | P/E | Market Cap |
| 112.83 | 112.89 | 112.86 | +1.40 | 134K | - | 0.0B |
VSS Dividend-Like Income Using Covered Calls
With VSS at 112.86, 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% | 3.39 | 0.9 |
| 5% | 5.64 | 1.5 |
| 10% | 11.29 | 3.1 |
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 VSS Using Covered Calls | ||||||
|---|---|---|---|---|---|---|
| Expiration | Strike | Call Bid | Days | Cents/Day | Upside Potential | |
| Aug 15 | 113.00 | 2.35 | 213 | 1.1 | 0.11 (0.1%) | |
| May 16 | 113.00 | 1.65 | 122 | 1.4 | 0.11 (0.1%) | |
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| Top 10 Open Interest For Jan 17 Expiration | Top 5 High Yield | |||||
|---|---|---|---|---|---|---|
| 1. | NVDA dividend | 6. | TSLA dividend | 1. | RUM dividend | |
| 2. | SLV dividend | 7. | INTC dividend | 2. | RXRX dividend | |
| 3. | AAPL dividend | 8. | XLF dividend | 3. | RGTI dividend | |
| 4. | SPY dividend | 9. | TLT dividend | 4. | XP dividend | |
| 5. | EEM dividend | 10. | IWM dividend | 5. | SEDG dividend | |
Want more examples? VSH Dividend | VST Dividend
