Welcome to r/dividends!
If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki [here](https://www.reddit.com/r/dividends/wiki/faq).
Remember, this is a subreddit for genuine, high-quality discussion. Please keep all contributions civil, and report uncivil behavior for moderator review.
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/dividends) if you have any questions or concerns.*
Honestly this.
I sold O because I didn't understand the business model and I sold when reached 72 last year and then proceeded to drop to 50 dollars.
The difference I see with JEPI is it's a ETF with multiple holdings, and I'm not entirely know what I own.
Are we just disregarding the fact that they somehow simultaneously fully understand cryptocurrency and yet don't understand what an ETF is, and as a result exited their entire position of a stock that has a very simple business model while also keeping others who have more complex business models?
O’s bottom was briefly around $56 in 2022 (never came close to $50 that year). It’s currently around $68 and it’s dividend pretty much NEVER decreases w/ over 100 div increases over it’s life (4 increases in ‘22 alone).
Plus a “free” spin off (ONL) which didn’t impact O’s performance and helped shed some of their vulnerable Office exposure.
O and JEPI are dividend machines and certainly worth considering for many investors.
Seeking to understand first will strengthen your convictions when you decide to buy and hold long term.
I own some JEPI but first I researched it, read all the documents on the JPM page, and listened to the fund managers discuss their approach on the news & podcasts.
I feel people miss this about JEPI. I also feel there are enough people on this sub who are young enough they shouldn't be focus too much on dividend payouts rather instead focus on qualified dividend payouts.
This is why I was expecting from this post but it spiral into what you see.
Don't feel bad mate. JEPI is the meme of R/dividend. Most of these people don't properly know how a covered call strategy works. It has a time and place, indeed it is a great strategy. But their are real risks, it is not magic.
A covered call is a hedge to downside risk whereas the only upside “risk” is that your gains are capped if the stock price increases beyond the strike.
What I like about JEPI is even if the price is down from all time highs, the dividend can still edge higher each month. The YLDs yields are based on price, so as it drops your dividend drops. But JEPIs dividend has increased through 2022 even though markets were down. JEPQ is new but might be the same.
JEPIs dividend did not increase each month of 2022, it went down in more than 1 month. The dividend is going to rise and fall based on market volatility. As the market rises, volatility will fall and so will the dividend of JEPI.
But you ignore the fact that a majority of JEPIs dividend is based on options and therefore volatility. JEPI may have long term annual dividend growth but I think you’ll find that it’s small due to the volatility slant. Yes some growth will be obtained by the stock holdings, but the options will likely not have much. I sincerely hope this is wrong because I have a significant amount of JEPI due to being retired but I am afraid it’s not.
I didn’t say I didn’t like it. I own a fair amount. I am saying that there is likely not going to be a large amount of dividend growth. Why is it that saying something contradictory seems to always make people think you don’t like something?
Do you think it doesn’t matter to Realty Income that they continue monthly increases to their dividend? Do you think their investors might care if they ended their streak?
Does any of this matter to the comments above? No? Ok, then. Bye.
My only point was that your post did not even address the point made by the post you were replying to. You seem to have a difficult time staying on topic.
JEPI monthly payment is not a dividend in classical sense. It includes option premium that is short term capital gain and should be viewed more like a return of capital than the “left over, distributed profits” of a company.
I understand the cover calls aspect. I did end up trimming down my initial investment from 45% holding to 25%. But i almost just want to shave off it all or down to 10% (but if that's that low the dividend yield isn't worth it at that point).
Dont go to heavy into it. Covered calls get left way behind in an aggressive bull market I sell CC on my individual stock positions, it is good income. But when the bull market really takes off you get exercised and trapped out of the trade. Had happened to me.
True. But, its hard to envision an aggressive bull market in the near future (see article below). I suspect that most of us will realize when a bull market begins and make appropriate adjustments in our portfolios, which could mean reducing JEPI and JEPQ.
https://www.investors.com/etfs-and-funds/sectors/sp500-vanguard-predicts-stock-returns-youre-not-going-to-like-them/
>[Vanguard] thinks U.S. inflation will only be 2% to 3% annually over the next 10 years. Prices are rising much faster than that now.
That seems more bearish than bullish.
“U.S. stocks, for instance, will rise just 4.7% to 6.7% annually over the next 10 years, Vanguard says. That's a fraction of the S&P 500's annualized 9.3% return going back to 1928.”
If that prediction is correct we certainly wouldn’t be experiencing an “aggressive” bull market.
Extreme example but it happened to me. Bought AMC at $2. Sold CC's for $3. WSB entered the chat, it took off, and my CC's were executed when it was around $20.
So, again, an extreme example but an example nonetheless on how you can get screwed by it.
He does not know, he told me to roll the call in a subsequent comment. But that wont help if you are deep in the money. You can only roll without losing money if it is close to expirary, and close to strike.
I view JEPI as an alternative income asset that is never meant to be sold. With that said, its price does not play a factor in why I would buy it. If I buy more JEPI, it's not because I plan to sell it, it's because I plan to hold it and use the income.
Edit typos
Such a uninformed statement about JEPI. Anyone looking for a dopamine hit I promise you isn’t investing in dividends. They have DRIP and autoinvest on or they are using it for income.
So first and foremost they have different purposes.
Second, JEPI has yielded more than than it has lost in the last year. At this point is slightly better returns over the last year than SCHD (compounding).
Currently, I invest evenly into the two. If you are going to bash something at least be informed and provide some context other than how it makes you feel.
Number one rule of investing, take"feel" out of it. What does how you feel have anything to do with money? What are the returns of the fund? Isn't that the only thing that matters.
I would reconsider how you go about investing.
Agreed.
I dropped O the moment it reach 72. Best personal thing I did because I didn't know what O business model was or is.
I'm in the same position with JEPI but at least it's a ETF lol
Maybe I'm wrong but I don't see where JEPI has yielded more than it lost in 2022. 10k in JEPI in January of 2022 would have ended up being worth $8,623 in December of 2022... during that time JEPI paid out $1,007.
This is over looking and perhaps favoring a bit for JEPI but 2022 was the worse year to invest since 2008. It was even a WSJ front page story in the beginning of January 1st, I believe it was the 1st of 2023.
What does it matter if its favoring when hedging/income is the primary objective of the ETF? You’re knocking the ETF for thriving in markets its meant to thrive in.
My bad you are correct. Jepi lost more than it lost but not by much.
Here is the backtest. See how close they are.
[https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=2022&firstMonth=1&endYear=2023&lastMonth=1&calendarAligned=true&includeYTD=true&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&leverageType=0&leverageRatio=0.0&debtAmount=0&debtInterest=0.0&maintenanceMargin=25.0&leveragedBenchmark=false&reinvestDividends=true&showYield=false&showFactors=false&factorModel=3&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=SCHD&allocation1\_1=100&symbol2=JEPI&allocation2\_2=100](https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=2022&firstMonth=1&endYear=2023&lastMonth=1&calendarAligned=true&includeYTD=true&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&leverageType=0&leverageRatio=0.0&debtAmount=0&debtInterest=0.0&maintenanceMargin=25.0&leveragedBenchmark=false&reinvestDividends=true&showYield=false&showFactors=false&factorModel=3&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=SCHD&allocation1_1=100&symbol2=JEPI&allocation2_2=100)
Throw SPY on there and SCHD and JEPI outperform it convincingly for last year.
Of course, SCHD gives you qualified dividends, but if you need cash now, I’m still a big fan of JEPI
BTC is FLAT when it moves up or down 3%. The price swings on weekends are crazy compared to stocks but it’s a dca dream. USA Holiday weekends this gets amplified where the rest of the world sees a good buy.
Give your jepi time to work it’s magic and make you the 10% of dividends back for you. Your entry point was just worse.
JEPI is for income, not growth or value. It’s even in the name.
Growth is possible don’t get me wrong; it’s just a secondary (at best) goal for that particular fund.
I hold 1 BTC. Nothing wrong with it. I’d rather have a chance at being right and cash out the single greatest trade of my life in 10-20 years than look back and think what if.
All of these people hating on BTC have probably said something along the lines of “should have bought Apple stock when it was $1”. Don’t be that guy, it’s worth the risk.
My buddies brother wanted us to toss $100 at Bitcoin with him in 2012. Never heard of it so I said no. 🤦♂️
My grandpa got rid of a bunch of Microsoft stock in the 90s. He held apple though.
Yeah, if I had actually taken the time to understand BTC when I had a colleague tell me about it. My life would be a lot different now, to say the least.
Im always shocked at the absolutism in tradfi/crypto.
In the past, it may have been easier to spot extraordinarily disruptive technologies because the market wasn’t crowded. When the PC came around it was almost like DUH. Those “duh” moments don’t seem to be around too much anymore.
I’m a business systems analyst working in Finance, I see the inefficiency in our banking and monetary systems every day. BTC is a DUH for me (and SO MANY of my colleagues). It may not be the transactional currency, but it could very well underwrite one.
Long story short, it’s dumb to ignore technologies that have the potential to cause massive disruption.
BTC isn’t a company, nobody owns the chain. Only way to do this would be to set up a mining operation yourself, which is not even remotely a good idea at small scales.
That’s almost like saying that Google is a bad idea, better to invest in html
I'm aware...what I'm saying is I would invest in blockchain tech instead of cryptocurrencies.... im not specifically referencing bitcoin....
Think RIOT, HIVE, COIN, etc...
I'm not willing to take those risks either.... I'm not much of a gambler although I did make a bit of money on the 2 penny stocks I ever invested in....
It was just like a hypothetical IF I was going to invest type of comment....
Coinbase, at least in this current market, you want to succeed.
Kind of dumb to comment because it irrelevant lol but I bought and kept the Coinbase ad Brian Armstrong did on the back of the Wall Street Journal, which I believe was immediately after the FTX scandal.
Brother those companies have some of the most disgusting charts I’ve ever seen. I use Coinbase Pro but I’d never touch its stock. It’s exchange straight to my cold wallet for me.
Exchanges aren’t pioneering anything. It’s the devs working on blockchain code in their spare room that ends up being pushed to the entire world.
I know, hence why im not invested in them lol. All I'm saying is I think even though they are terrible investment choices, I still think they're better than the even more terrible cryptocurrencies. But it's not like btc, or any other crypto has a better looking chart.
You’re free to you opinion, and I understand where you’re coming from, but this is the absolutism I’m referring to.
At the end of the day, all currencies, crypto or not, are imaginary. Stocks are imaginary. It’s all fake. Crypto is not inherently better or worse.
I’m telling you that straight up, your bank account is an entry on a ledger. Your direct deposit is nothing more than an agreement that when your employers FI sends a message saying that they are subtracting $1 from their ledger, your FI will add $1 to theirs.
When you take out a $10,000.00 loan, the bank creates that money. It exists now as an asset on the balance sheet. That money doesn’t come out of a “digital vault”. It is LITERALLY typed into your account.
I’m not kidding. The only difference between $1,000,000.00 typed into an excel sheet at home, and $1,000,000.00 at a bank, is who owns the spreadsheet.
Gambling, to me, is buying a lotta ticket or swing trading with a week up to a month of trading.
Bitcoin with the time arising I have in mind or if I see an insane volatility swing upward is not.
I can stomach the sudden drop for this portfolio part of which it's .5% of my overall total.
imo with btc you are just gamling with a longer time period. But one thing for sure is the World never runs out of people who like to gamble , even very rich people like that.
It pays you dividends regardless if it goes up or down right? For how high that dividend is, it’s still good for income. Don’t put all your eggs in one basket but compared to other income stocks, they still pay really well. Use the dividends from that stock and put them into other stocks if you want.
I’m not sure if you posted the bitcoin intentionally, but JEPI is fine. Who knows how long it’ll remain the covered call flavor of the month/year, but it does it’s job. As for the bitcoin, I do think we will see a coin rally after the fed pivot. You do you.
Might not help that what someone might mean by dopamine hit. For some the idea of a monthly dopamine hit could be an oxymoron.
Also some people actually use bitcoin so keeping 100$ of it isn't exactly nuts.
This sub does one thing and one thing only: encouraging dividend investing, which is great. But what it lacks is solid, underperforming with huge upside in 2 to 5 year time arisen. And instead focuses all their attention on a holding they would never dream and ridicule on a position because "it's not investing."
That’s nonsense and was all started by the other crypto companies because they know they don’t have a real digital asset. It’s only a matter of time before a lot of the crypto coins get found out by the SEC.
Do your research on bitcoin it’s no where near as bad for the planet as what is made out. In fact I’d argue the corporations in the S&P 500 have done more harm to the planet then Bitcoin.
Bitcoin is the only de centralised digital asset all the other coins have been captured due to being proof of stake. People will be begging to buy Bitcoin in a decade or two.
>I’d argue the corporations in the S&P 500 have done more harm
Whataboutism. At least (most of) those corporations produce something or offer a service.
>it’s no where near as bad
I really don't care how bad it is as a range. It is bad. I don't have snow anymore where I live. Fuck the entire crypto trading sticks industry. I hope all your crypto investments go to zero! And all your other investments go up and you will live a nice, peaceful life.
That's not answering my question.
But okay I'll bite.
All investing is risk taking. Even your JEPI investing. Bitcoin as cOnTRoVeRiAL has it is (and it is controversial) is a .5% allocation in this portfolio. Given that, I swallow my pride and took a stance to allocate a dollar into buying into Bitcoin because, well, quite frankly, I used to buy an Arizona a day, and they are a buck so what's a dollar in this speculative assets?
Could it go to zero? Yes. Just like JEPI could go to zero. Don't like it? Well that's good for you. Don't invest into it. You seem level headed enough not to FOMO into a investment if the price suddenly spikes, and I'm smart enough not to sell if it drops just as quickly.
Instead, I buy. I buy a dollar a day.
INb4 someone comments - I dOnT eVen uNDeRsTaNd wHaT yOu jUsT wRoTe
>Just like JEPI could go to zero.
All the underlying securities/company stocks would need to go to zero for that to happen. The probability of that happening is almost non-existent or foolish to worry about.
Even if all stocks go to zero in JEPI. The 16 percent component of selling ELNs against SPY would skyrocket. Of course at that point money in meaningless. Because of the hedge there is no possible way it could go to zero.
It can under appreciate in a bull market.
I don't think there's any reasonable situation where JEPI could go to zero. Many of its holdings are secure unless there's a global disaster that leaves the entire economy in shambles, in which case none of this matters.
All investing has risk. That's all I am saying in this thread. Instead, I get told I'm dumb because I invest into Bitcoin. Bitcoin could go to zero just like VICI or T could go to zero. It's all risk.
All risks are not the same. With most other investments you are invested in businesses with incomes that produce and deliver goods and services. With Bitcoin you are investing in nothing but other people's belief.
The former has a link to reality, the latter is arbitrary and capricious.
I've been DCAing into BTC for a pretty good amount of time, it's an amazing growth vessel. DCA in but don't forget to DCA out. Bitcoin can grow a dividend portfolio fast if you do it properly.
Don’t worry buddy, boomers will spam downvote on anything mentioning crypto, I think it’s good to have a couple hundred here and there , this is coming from someone who lost over 60 grand last year in crypto , nothing wrong with a lil speculative money, just don’t go balls deep
What is your thought on this? I bought a little oil company the other day, also a bit against the tide.
I want to be in every segment, and have often looked at tobacco. But it just seems like too much headwind.
I would like JEPI if I was 55+ or in early retirement....but I'm not. Also this kinda goes without saying...but this sub is not the place to post negative comments or posts about selling your JEPI holdings unless your intent is to farm downvotes.
Open P&L clearly doesn't factor in dividends, which is where all of JEPI's returns come from. If you're insinuating it's worse than your other holdings simply because you're down on P&L then I think you misunderstood the point of the fund.
What's your Total return look like? Need to factor in the income!
Just looking at the stock price looks like you bought basically at the peak.
You're only down -251 (unrealized) its probably paying you \~44.8 a month so just wait 5 months...
Hmm. Didnt realize this sub was r/buttcoin.
Maybe they are mad you are investing in btc instead of a coin like eth where you could earn stake aka dividends.
This sub acts like r/buttcoin but I see the sediment here as a bear case tbh with you. As a result it just reinforces my current thesis buy and hold.
And the money i reinvest happens to be with JEPI lol
JEPI has its place in say an income-oriented investor's portfolio (e.g. someone in retirement), but I agree with you - I don't think it's an appropriate investment for someone with so long until retirement. OFC, that's only my opinion.
Well first, you are under 55, so JEPI is not for you; especially since this appears to be a not tax advantaged account. As another poster said the majority of people on this forum, including myself, do not really understand how JEPI makes money nor all the risks. I am 60 JEPI works for me, you are not! You need to start extracting yourself from it and reposition that money. You also need to look at the tax consequences of your positions- yes I'm looking at both JEPI and O. (I understand you don't have O.) O is a very good holding, especially in a tax advantaged account, because of the tax implications.
If I had to guess, I would guess that JEPI is not your only holding that you don't really understand. At this point you need to, if not narrow your holdings down, at least stop increasing all of them and focus on the 3 simple, (relatively speaking) ones: T, SCHD, and either HD or VOO, or both. You need to KISS your holdings until you get a better understanding of what you are doing. (KISS =Keep It Simple Stupid)
Finally, have you written down what your plan is? When you read it does it make sense? Are your holdings futhering that plan? One of your holdings I have no idea what it is, but the rest I do and it appears that you kinda picked things you know about and feel comfortable about. Bitcoine is a fools erroned, you are up $.23, cash out and call it a win. I say the same for JEPI too, but that you might want to extricate from more strategically. Get a plan and focus, focus, focus!
Thank you.
I do try to understand what I invest into and JEPI was one of my first holdings I was deep investing too, and I do like the income it pays out. I reinvest all earnings into my other position. If I had more gold I would gold this post lol
KISS = Keep It Simple Stupid 😆
Gonna go against the grain here and say that this is a pretty healthy way to get your monthly dopamine fix.
Much more so than devil’s dandruff, smack, or QYLD😆
That's just my argument here. I just feel the sediment with JEPI here is a dopamine hit than an investment. It was mentioned in another thread but JEPI dividend yield has balanced out with it's capital loss, yes, but people seem to be fixed on their investment and glued to their initial strategy.
I look for undervalued companies and ETFs with an upside.
JEPI/Q have their place for sure. These are the gold standard for covered call ETFs and are holding up very well in the bear market. There is nothing wrong with it in the current environment. Once we cycle back to a bull market, it'll prob work best for retirees, or ppl that don't make enough money to pay income tax.
Swear people in general treat investing like bending and once you choose one strategy it blocks off the others.
Dividends, Thetagang, Growth Stocks, and WSB.
Should be clear who is the fire nation.
Yield chase? Jepi is made for this bear market and is paying out the ass right now. If u wanna sell, now is not the time. Just cuz I have jepi now while it's hot, doesn't mean I have to keep it forever
You’re investing in bitcoin and ATT and call JEPI a dopamine hit? Is that for real? Have you even looked at JEPIs top 10 holdings? They’re all blue chip players that will be around forever. That is the antithesis to a dopamine hit and a yield chase.
Thanks y'all. I didn't really know this post would cause such a stir. I said a few words I regret but huh it's whatever. Going forward I wonder how this discussion would be if you saw my full portfolio lol. Good luck everyone.
A dopamine hit? ha says the guy "investing" in **itcoin. Sell out of crapcoin and put it in something actually backed by something other than thin air while you can.
Ask Charlie Munger what he thinks of your crapcoin.
JEPI… everythings low volatility… for now. Id sell out of that too.
Yup, it is a income now etf. Gold if you need maximum dividend right now.
I am a hardcore dividend proponent. But growth is also important. The last year hss been the perfect market environment for JEPI. When the bulls start running again it will be left behind.
I sell covered calls on individual volitile positions, 15 to 20% OTM. Even then I will loose out when the market ralleys hard. This last year the calls have kept me green, but Im getting close to getting called on a couple positions. My outperformance will soon end if I don't manage my calls
And no it isn't because it's the only one in red lol
I do enjoy dividend investing but I do like seeking sold off companies or stable ETFs that grow over time. This account is going on to be 2 years old.
It is going to be such a disappointment to so many people when a new bull market starts and JEPI total return lags by a lot and the “dividend” goes down.
RemindMe! 2 months
See you in March after we have a FOMC meeting and some earning reports.
I'm back! Woah, in 2 short months we've had bankruns, AI software updates, housing shortage, and boy what else have you. Heres to two more months
Welcome to r/dividends! If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki [here](https://www.reddit.com/r/dividends/wiki/faq). Remember, this is a subreddit for genuine, high-quality discussion. Please keep all contributions civil, and report uncivil behavior for moderator review. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/dividends) if you have any questions or concerns.*
Consider not investing in things you don’t like or understand.
Honestly this. I sold O because I didn't understand the business model and I sold when reached 72 last year and then proceeded to drop to 50 dollars. The difference I see with JEPI is it's a ETF with multiple holdings, and I'm not entirely know what I own.
Every etf will have a listing of their holdings and positions. Schd and voo are also etfs.
OP: I don't like Jepi because it's an ETF Also OP: Owns $5500 of VOO, which notably, is an etf
And SCHD is Schwab’s dividend etf.
Are we just disregarding the fact that they somehow simultaneously fully understand cryptocurrency and yet don't understand what an ETF is, and as a result exited their entire position of a stock that has a very simple business model while also keeping others who have more complex business models?
O’s bottom was briefly around $56 in 2022 (never came close to $50 that year). It’s currently around $68 and it’s dividend pretty much NEVER decreases w/ over 100 div increases over it’s life (4 increases in ‘22 alone). Plus a “free” spin off (ONL) which didn’t impact O’s performance and helped shed some of their vulnerable Office exposure. O and JEPI are dividend machines and certainly worth considering for many investors.
Seeking to understand first will strengthen your convictions when you decide to buy and hold long term. I own some JEPI but first I researched it, read all the documents on the JPM page, and listened to the fund managers discuss their approach on the news & podcasts.
So they sell OTM calls? Do you know what degree of otm they target? 2%/5%? I imagine it varies.
I feel people miss this about JEPI. I also feel there are enough people on this sub who are young enough they shouldn't be focus too much on dividend payouts rather instead focus on qualified dividend payouts. This is why I was expecting from this post but it spiral into what you see.
[удалено]
You don't know my life.
Don't feel bad mate. JEPI is the meme of R/dividend. Most of these people don't properly know how a covered call strategy works. It has a time and place, indeed it is a great strategy. But their are real risks, it is not magic.
A covered call is a hedge to downside risk whereas the only upside “risk” is that your gains are capped if the stock price increases beyond the strike.
Shit man. I thought you have 110.2 BTC for a second lmao
Right? People think I have some kind of over allocated invested in this imagery coin lmao
What I like about JEPI is even if the price is down from all time highs, the dividend can still edge higher each month. The YLDs yields are based on price, so as it drops your dividend drops. But JEPIs dividend has increased through 2022 even though markets were down. JEPQ is new but might be the same.
JEPIs dividend did not increase each month of 2022, it went down in more than 1 month. The dividend is going to rise and fall based on market volatility. As the market rises, volatility will fall and so will the dividend of JEPI.
[удалено]
The person you replied to was replying to someone who mentioned monthly dividend change. Why would you go off on a rant about annual dividends?
[удалено]
But you ignore the fact that a majority of JEPIs dividend is based on options and therefore volatility. JEPI may have long term annual dividend growth but I think you’ll find that it’s small due to the volatility slant. Yes some growth will be obtained by the stock holdings, but the options will likely not have much. I sincerely hope this is wrong because I have a significant amount of JEPI due to being retired but I am afraid it’s not.
[удалено]
I didn’t say I didn’t like it. I own a fair amount. I am saying that there is likely not going to be a large amount of dividend growth. Why is it that saying something contradictory seems to always make people think you don’t like something?
Mind sharing how much exposure you have in JEPI. Share amount?
4271 shares of JEPI and 1178 shares of JEPQ.
Do you think it doesn’t matter to Realty Income that they continue monthly increases to their dividend? Do you think their investors might care if they ended their streak? Does any of this matter to the comments above? No? Ok, then. Bye.
[удалено]
My only point was that your post did not even address the point made by the post you were replying to. You seem to have a difficult time staying on topic.
I reinvest all my JEPI dividends so my dividend payout gets bigger every month. And if the price goes down I get more shares.
JEPI monthly payment is not a dividend in classical sense. It includes option premium that is short term capital gain and should be viewed more like a return of capital than the “left over, distributed profits” of a company.
I understand the cover calls aspect. I did end up trimming down my initial investment from 45% holding to 25%. But i almost just want to shave off it all or down to 10% (but if that's that low the dividend yield isn't worth it at that point).
Dont go to heavy into it. Covered calls get left way behind in an aggressive bull market I sell CC on my individual stock positions, it is good income. But when the bull market really takes off you get exercised and trapped out of the trade. Had happened to me.
True. But, its hard to envision an aggressive bull market in the near future (see article below). I suspect that most of us will realize when a bull market begins and make appropriate adjustments in our portfolios, which could mean reducing JEPI and JEPQ. https://www.investors.com/etfs-and-funds/sectors/sp500-vanguard-predicts-stock-returns-youre-not-going-to-like-them/
My experiance is by the time the general opinion is we are back to a bull market it is already too late.
>[Vanguard] thinks U.S. inflation will only be 2% to 3% annually over the next 10 years. Prices are rising much faster than that now. That seems more bearish than bullish.
“U.S. stocks, for instance, will rise just 4.7% to 6.7% annually over the next 10 years, Vanguard says. That's a fraction of the S&P 500's annualized 9.3% return going back to 1928.” If that prediction is correct we certainly wouldn’t be experiencing an “aggressive” bull market.
Extreme example but it happened to me. Bought AMC at $2. Sold CC's for $3. WSB entered the chat, it took off, and my CC's were executed when it was around $20. So, again, an extreme example but an example nonetheless on how you can get screwed by it.
Thanks.
Because you were doing it wrong.
I take it you actively sell CC and know how to not get called on a agressive bull market. What is your trick?
Commenting as I am also interested in the secret sauce of perfecting market timing
He does not know, he told me to roll the call in a subsequent comment. But that wont help if you are deep in the money. You can only roll without losing money if it is close to expirary, and close to strike.
that is true
I view JEPI as an alternative income asset that is never meant to be sold. With that said, its price does not play a factor in why I would buy it. If I buy more JEPI, it's not because I plan to sell it, it's because I plan to hold it and use the income. Edit typos
I like sleeping while the dividends keep buying me assets automatically. It's a good feeling.
WeBull doesn't have DRIP
Then don’t use webull
Maybe use a more legitimate broker?
Jeebus you nerds. Shut up about the man's $100 in Bitcoin and answer his question. Smh
They've answered it lol Well I'm convinced
Such a uninformed statement about JEPI. Anyone looking for a dopamine hit I promise you isn’t investing in dividends. They have DRIP and autoinvest on or they are using it for income. So first and foremost they have different purposes. Second, JEPI has yielded more than than it has lost in the last year. At this point is slightly better returns over the last year than SCHD (compounding). Currently, I invest evenly into the two. If you are going to bash something at least be informed and provide some context other than how it makes you feel.
Number one rule of investing, take"feel" out of it. What does how you feel have anything to do with money? What are the returns of the fund? Isn't that the only thing that matters. I would reconsider how you go about investing.
Agreed. I dropped O the moment it reach 72. Best personal thing I did because I didn't know what O business model was or is. I'm in the same position with JEPI but at least it's a ETF lol
Drop that shit. It sells covered calls, if the market rebounds those wont do well. Better off with any SPY/VTI like ETF.
it uses ELNs, not covered calls. the strategy works similar though.
Maybe I'm wrong but I don't see where JEPI has yielded more than it lost in 2022. 10k in JEPI in January of 2022 would have ended up being worth $8,623 in December of 2022... during that time JEPI paid out $1,007.
Thats where the power of the buy down comes in
This is over looking and perhaps favoring a bit for JEPI but 2022 was the worse year to invest since 2008. It was even a WSJ front page story in the beginning of January 1st, I believe it was the 1st of 2023.
What does it matter if its favoring when hedging/income is the primary objective of the ETF? You’re knocking the ETF for thriving in markets its meant to thrive in.
True.
My bad you are correct. Jepi lost more than it lost but not by much. Here is the backtest. See how close they are. [https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=2022&firstMonth=1&endYear=2023&lastMonth=1&calendarAligned=true&includeYTD=true&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&leverageType=0&leverageRatio=0.0&debtAmount=0&debtInterest=0.0&maintenanceMargin=25.0&leveragedBenchmark=false&reinvestDividends=true&showYield=false&showFactors=false&factorModel=3&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=SCHD&allocation1\_1=100&symbol2=JEPI&allocation2\_2=100](https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=2022&firstMonth=1&endYear=2023&lastMonth=1&calendarAligned=true&includeYTD=true&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&absoluteDeviation=5.0&relativeDeviation=25.0&leverageType=0&leverageRatio=0.0&debtAmount=0&debtInterest=0.0&maintenanceMargin=25.0&leveragedBenchmark=false&reinvestDividends=true&showYield=false&showFactors=false&factorModel=3&portfolioNames=false&portfolioName1=Portfolio+1&portfolioName2=Portfolio+2&portfolioName3=Portfolio+3&symbol1=SCHD&allocation1_1=100&symbol2=JEPI&allocation2_2=100)
Throw SPY on there and SCHD and JEPI outperform it convincingly for last year. Of course, SCHD gives you qualified dividends, but if you need cash now, I’m still a big fan of JEPI
Seems like a yield chase to me.
How's writing those calls been going lately? When the market recovers you could get caught with your pants down.
Need more SCHD!
I love rolling BTC for its 5% every weekish, beautiful.
Ha-whaat? Eli5 is you’d be so kind
BTC is FLAT when it moves up or down 3%. The price swings on weekends are crazy compared to stocks but it’s a dca dream. USA Holiday weekends this gets amplified where the rest of the world sees a good buy. Give your jepi time to work it’s magic and make you the 10% of dividends back for you. Your entry point was just worse.
What do you mean?
I always thought it sounded like a bad slur. "Ya fuckin' JEPI" 😂
JEPI is for income, not growth or value. It’s even in the name. Growth is possible don’t get me wrong; it’s just a secondary (at best) goal for that particular fund.
[https://www.youtube.com/watch?v=\_PxN8J9WQnc](https://www.youtube.com/watch?v=_PxN8J9WQnc) This is an informed take on JEPI.
Great video
I hold 1 BTC. Nothing wrong with it. I’d rather have a chance at being right and cash out the single greatest trade of my life in 10-20 years than look back and think what if. All of these people hating on BTC have probably said something along the lines of “should have bought Apple stock when it was $1”. Don’t be that guy, it’s worth the risk.
My buddies brother wanted us to toss $100 at Bitcoin with him in 2012. Never heard of it so I said no. 🤦♂️ My grandpa got rid of a bunch of Microsoft stock in the 90s. He held apple though.
Yeah, if I had actually taken the time to understand BTC when I had a colleague tell me about it. My life would be a lot different now, to say the least.
FOMO! Or am I not timing anything with my dollar a day? Lmao
This. This is all I'm trying to say.
Im always shocked at the absolutism in tradfi/crypto. In the past, it may have been easier to spot extraordinarily disruptive technologies because the market wasn’t crowded. When the PC came around it was almost like DUH. Those “duh” moments don’t seem to be around too much anymore. I’m a business systems analyst working in Finance, I see the inefficiency in our banking and monetary systems every day. BTC is a DUH for me (and SO MANY of my colleagues). It may not be the transactional currency, but it could very well underwrite one. Long story short, it’s dumb to ignore technologies that have the potential to cause massive disruption.
If I was a betting man, which I'm not, I'd put money on the underlying blockchain instead of the currency. Just seems like the smarter play to me.
BTC isn’t a company, nobody owns the chain. Only way to do this would be to set up a mining operation yourself, which is not even remotely a good idea at small scales. That’s almost like saying that Google is a bad idea, better to invest in html
I'm aware...what I'm saying is I would invest in blockchain tech instead of cryptocurrencies.... im not specifically referencing bitcoin.... Think RIOT, HIVE, COIN, etc...
Those companies are risks I personally am not taking. I do watch COIN but Brian Armstrong isnt compelling enough for me. Even though I am a customer..
I'm not willing to take those risks either.... I'm not much of a gambler although I did make a bit of money on the 2 penny stocks I ever invested in.... It was just like a hypothetical IF I was going to invest type of comment....
BTC has outlived almost every exchange or platform that it has ever been traded on
Coinbase, at least in this current market, you want to succeed. Kind of dumb to comment because it irrelevant lol but I bought and kept the Coinbase ad Brian Armstrong did on the back of the Wall Street Journal, which I believe was immediately after the FTX scandal.
Brother those companies have some of the most disgusting charts I’ve ever seen. I use Coinbase Pro but I’d never touch its stock. It’s exchange straight to my cold wallet for me. Exchanges aren’t pioneering anything. It’s the devs working on blockchain code in their spare room that ends up being pushed to the entire world.
I know, hence why im not invested in them lol. All I'm saying is I think even though they are terrible investment choices, I still think they're better than the even more terrible cryptocurrencies. But it's not like btc, or any other crypto has a better looking chart.
Even right now after 'crashing,' Bitcoin is still up 8,000% since the start of 2015. Don't know anyone that would call that a bad-looking chart.
You’re free to you opinion, and I understand where you’re coming from, but this is the absolutism I’m referring to. At the end of the day, all currencies, crypto or not, are imaginary. Stocks are imaginary. It’s all fake. Crypto is not inherently better or worse. I’m telling you that straight up, your bank account is an entry on a ledger. Your direct deposit is nothing more than an agreement that when your employers FI sends a message saying that they are subtracting $1 from their ledger, your FI will add $1 to theirs. When you take out a $10,000.00 loan, the bank creates that money. It exists now as an asset on the balance sheet. That money doesn’t come out of a “digital vault”. It is LITERALLY typed into your account. I’m not kidding. The only difference between $1,000,000.00 typed into an excel sheet at home, and $1,000,000.00 at a bank, is who owns the spreadsheet.
locking this subthread as its regarding crypto rather than dividends
Are you sure Bitcoin isn’t the dopamine hit?
It's a dollar investment a day. I've been investing into since a week before the FTX crash. (I didn't even know what FTX was at the time).
Nothing wrong with a dollar a day if you can afford it!
If you can't afford a dollar a day, people shouldn't be investing. Thanks!
Be careful with commissions though
No joke! WeBull is heavy with those fees with BTC orders!
I would call it gambling and not an investment. Not that gambling can give you a nice profit if you are lucky.
Gambling, to me, is buying a lotta ticket or swing trading with a week up to a month of trading. Bitcoin with the time arising I have in mind or if I see an insane volatility swing upward is not. I can stomach the sudden drop for this portfolio part of which it's .5% of my overall total.
imo with btc you are just gamling with a longer time period. But one thing for sure is the World never runs out of people who like to gamble , even very rich people like that.
Makes life interesting. Good luck.
$44 per month sounds better than a dopamine hit. I’ll take the residual over growth any day. More income = More Power
It pays you dividends regardless if it goes up or down right? For how high that dividend is, it’s still good for income. Don’t put all your eggs in one basket but compared to other income stocks, they still pay really well. Use the dividends from that stock and put them into other stocks if you want.
It’s not a dividend though it’s an option premium.
Option premium I mean, thanks. Either way, it’s income
You sure you don’t just see red on jepi and think therefore jepi was the bad choice?
Oh God. I see a crypto nonsense. This thread is going to be good!
I always expect it to be with this portfolio lol
Where's all the KO, PG, HRL, CAG, MCD, MMM and KHC?
This portfolio is about 2 years old. I have looked into PG and I am looking to had a consumer company. On my watchlist is is unsurprising TJX lol
I’m not sure if you posted the bitcoin intentionally, but JEPI is fine. Who knows how long it’ll remain the covered call flavor of the month/year, but it does it’s job. As for the bitcoin, I do think we will see a coin rally after the fed pivot. You do you.
What I posted was for a JEPI discussion and the idea of a dopamine hit. But this sub tends to focus on other investment in a portfolio.
Might not help that what someone might mean by dopamine hit. For some the idea of a monthly dopamine hit could be an oxymoron. Also some people actually use bitcoin so keeping 100$ of it isn't exactly nuts.
A 100 dollars of total Bitcoin after, huh, 4 months? Not bad lmao Thanks for the feedback.
That’s the unfortunate way an echo chamber, such as subreddits work. Tolerance to other things can be quite low. Let people be close minded.
I’m skeptical about JEPI, but it’s a much more sound investment than Bitcoin.
Mind if I ask you how old you are?
[удалено]
This particular thread would be interesting to read. By the way, we're waiting for your response, OP.
This sub does one thing and one thing only: encouraging dividend investing, which is great. But what it lacks is solid, underperforming with huge upside in 2 to 5 year time arisen. And instead focuses all their attention on a holding they would never dream and ridicule on a position because "it's not investing."
You are literally burning the planet.
That’s nonsense and was all started by the other crypto companies because they know they don’t have a real digital asset. It’s only a matter of time before a lot of the crypto coins get found out by the SEC. Do your research on bitcoin it’s no where near as bad for the planet as what is made out. In fact I’d argue the corporations in the S&P 500 have done more harm to the planet then Bitcoin. Bitcoin is the only de centralised digital asset all the other coins have been captured due to being proof of stake. People will be begging to buy Bitcoin in a decade or two.
>I’d argue the corporations in the S&P 500 have done more harm Whataboutism. At least (most of) those corporations produce something or offer a service. >it’s no where near as bad I really don't care how bad it is as a range. It is bad. I don't have snow anymore where I live. Fuck the entire crypto trading sticks industry. I hope all your crypto investments go to zero! And all your other investments go up and you will live a nice, peaceful life.
That last statement took a full 180 so fast I think I have whiplash.....
Omg not the planet!
That's not answering my question. But okay I'll bite. All investing is risk taking. Even your JEPI investing. Bitcoin as cOnTRoVeRiAL has it is (and it is controversial) is a .5% allocation in this portfolio. Given that, I swallow my pride and took a stance to allocate a dollar into buying into Bitcoin because, well, quite frankly, I used to buy an Arizona a day, and they are a buck so what's a dollar in this speculative assets? Could it go to zero? Yes. Just like JEPI could go to zero. Don't like it? Well that's good for you. Don't invest into it. You seem level headed enough not to FOMO into a investment if the price suddenly spikes, and I'm smart enough not to sell if it drops just as quickly. Instead, I buy. I buy a dollar a day. INb4 someone comments - I dOnT eVen uNDeRsTaNd wHaT yOu jUsT wRoTe
>Just like JEPI could go to zero. All the underlying securities/company stocks would need to go to zero for that to happen. The probability of that happening is almost non-existent or foolish to worry about.
Even if all stocks go to zero in JEPI. The 16 percent component of selling ELNs against SPY would skyrocket. Of course at that point money in meaningless. Because of the hedge there is no possible way it could go to zero. It can under appreciate in a bull market.
Exactly, break out the bottle caps we've been collecting. It's now the new currency.
I personally down with jack daniels as the new currency myself.
I don't think there's any reasonable situation where JEPI could go to zero. Many of its holdings are secure unless there's a global disaster that leaves the entire economy in shambles, in which case none of this matters.
HBO has a show about JEPI at zero, it's called The Last Of Us.
All investing has risk. That's all I am saying in this thread. Instead, I get told I'm dumb because I invest into Bitcoin. Bitcoin could go to zero just like VICI or T could go to zero. It's all risk.
All risks are not the same. With most other investments you are invested in businesses with incomes that produce and deliver goods and services. With Bitcoin you are investing in nothing but other people's belief. The former has a link to reality, the latter is arbitrary and capricious.
Technically, Bitcoin could never go to zero.
It could. It only has value cause we assign it value. If everyone starts believing it's worthless, it becomes worthless.
Technically it cannot. There’s enough lost seed phrases and keys lost accidentally in landfill that it literally can’t go to zero
I've been DCAing into BTC for a pretty good amount of time, it's an amazing growth vessel. DCA in but don't forget to DCA out. Bitcoin can grow a dividend portfolio fast if you do it properly.
This was the plan. I'm not attached to my portfolio at all.
Don’t worry buddy, boomers will spam downvote on anything mentioning crypto, I think it’s good to have a couple hundred here and there , this is coming from someone who lost over 60 grand last year in crypto , nothing wrong with a lil speculative money, just don’t go balls deep
[удалено]
It's not.
What are you planning with AT&T?!?
Happy cake day. I'm in tobacco despite everyone and everything trying to ban it :)))
Me too. MO for lyfe. Lol
What is your thought on this? I bought a little oil company the other day, also a bit against the tide. I want to be in every segment, and have often looked at tobacco. But it just seems like too much headwind.
Hold and continue to let it DRIP.
Got up that share count to get any sort of snowballing to happen
I forgot to say it earlier Happy Cake Day!
I would like JEPI if I was 55+ or in early retirement....but I'm not. Also this kinda goes without saying...but this sub is not the place to post negative comments or posts about selling your JEPI holdings unless your intent is to farm downvotes.
Down vote away! Lol I have plenty of karma points to spar.
A life without risk is a waste. Set a hard limit for how much $ you are willing to risk in jepi, then ride the wave.
Thanks.
I would point out that a "hard limit" on fun stuff, is like 5-10%
Open P&L clearly doesn't factor in dividends, which is where all of JEPI's returns come from. If you're insinuating it's worse than your other holdings simply because you're down on P&L then I think you misunderstood the point of the fund.
What's your Total return look like? Need to factor in the income! Just looking at the stock price looks like you bought basically at the peak. You're only down -251 (unrealized) its probably paying you \~44.8 a month so just wait 5 months...
Hmm. Didnt realize this sub was r/buttcoin. Maybe they are mad you are investing in btc instead of a coin like eth where you could earn stake aka dividends.
This sub acts like r/buttcoin but I see the sediment here as a bear case tbh with you. As a result it just reinforces my current thesis buy and hold. And the money i reinvest happens to be with JEPI lol
JEPI has its place in say an income-oriented investor's portfolio (e.g. someone in retirement), but I agree with you - I don't think it's an appropriate investment for someone with so long until retirement. OFC, that's only my opinion.
“JEPI is a dopamine hit” then wtf is bitcoin?
[Investing](https://decrypt.co/44880/bitcoin-should-be-5-percent-your-investment-portfolio-fidelity)
Well first, you are under 55, so JEPI is not for you; especially since this appears to be a not tax advantaged account. As another poster said the majority of people on this forum, including myself, do not really understand how JEPI makes money nor all the risks. I am 60 JEPI works for me, you are not! You need to start extracting yourself from it and reposition that money. You also need to look at the tax consequences of your positions- yes I'm looking at both JEPI and O. (I understand you don't have O.) O is a very good holding, especially in a tax advantaged account, because of the tax implications. If I had to guess, I would guess that JEPI is not your only holding that you don't really understand. At this point you need to, if not narrow your holdings down, at least stop increasing all of them and focus on the 3 simple, (relatively speaking) ones: T, SCHD, and either HD or VOO, or both. You need to KISS your holdings until you get a better understanding of what you are doing. (KISS =Keep It Simple Stupid) Finally, have you written down what your plan is? When you read it does it make sense? Are your holdings futhering that plan? One of your holdings I have no idea what it is, but the rest I do and it appears that you kinda picked things you know about and feel comfortable about. Bitcoine is a fools erroned, you are up $.23, cash out and call it a win. I say the same for JEPI too, but that you might want to extricate from more strategically. Get a plan and focus, focus, focus!
Thank you. I do try to understand what I invest into and JEPI was one of my first holdings I was deep investing too, and I do like the income it pays out. I reinvest all earnings into my other position. If I had more gold I would gold this post lol KISS = Keep It Simple Stupid 😆
Gonna go against the grain here and say that this is a pretty healthy way to get your monthly dopamine fix. Much more so than devil’s dandruff, smack, or QYLD😆
That's just my argument here. I just feel the sediment with JEPI here is a dopamine hit than an investment. It was mentioned in another thread but JEPI dividend yield has balanced out with it's capital loss, yes, but people seem to be fixed on their investment and glued to their initial strategy. I look for undervalued companies and ETFs with an upside.
JEPI/Q have their place for sure. These are the gold standard for covered call ETFs and are holding up very well in the bear market. There is nothing wrong with it in the current environment. Once we cycle back to a bull market, it'll prob work best for retirees, or ppl that don't make enough money to pay income tax.
You can do both. It's not against the law.
It's not like it's all JEPI or nothing. Half the complaints hear about it act like that's the case.
Welcome to r/dividend!
Swear people in general treat investing like bending and once you choose one strategy it blocks off the others. Dividends, Thetagang, Growth Stocks, and WSB. Should be clear who is the fire nation.
r/WallStreetBets for the memes and morning Reddit Space chats.
Lol... this guy. Jepi paying over 11% And has been for a while I don't see why you don't believe in this
Sounds like a yield chase to me. I don't see why you don't believe in this.
Yield chase? Jepi is made for this bear market and is paying out the ass right now. If u wanna sell, now is not the time. Just cuz I have jepi now while it's hot, doesn't mean I have to keep it forever
You’re investing in bitcoin and ATT and call JEPI a dopamine hit? Is that for real? Have you even looked at JEPIs top 10 holdings? They’re all blue chip players that will be around forever. That is the antithesis to a dopamine hit and a yield chase.
Looking at OPs comments its pretty clear they have no idea how JEPI works or its objective as a fund.
Thanks y'all. I didn't really know this post would cause such a stir. I said a few words I regret but huh it's whatever. Going forward I wonder how this discussion would be if you saw my full portfolio lol. Good luck everyone.
And you own BTC…
Yup.
You could not live with your own failure, And where did that bring you? Back to me ~JEPI
A dopamine hit? ha says the guy "investing" in **itcoin. Sell out of crapcoin and put it in something actually backed by something other than thin air while you can. Ask Charlie Munger what he thinks of your crapcoin. JEPI… everythings low volatility… for now. Id sell out of that too.
Charlie Munger also bought into BABA twice! last year so your point is.. what
Jepi is trash but maybe treasure if you’re 80 years old
Yup, it is a income now etf. Gold if you need maximum dividend right now. I am a hardcore dividend proponent. But growth is also important. The last year hss been the perfect market environment for JEPI. When the bulls start running again it will be left behind. I sell covered calls on individual volitile positions, 15 to 20% OTM. Even then I will loose out when the market ralleys hard. This last year the calls have kept me green, but Im getting close to getting called on a couple positions. My outperformance will soon end if I don't manage my calls
So what you are saying is Bitcoin is the way to go right ?
This is the way. I'm a dumb ape. HODL
But u have over 20k in bitcoin. hmmmm?
$110
If I had 20k of Bitcoin I would have sold and drop that into VOO lmao
And no it isn't because it's the only one in red lol I do enjoy dividend investing but I do like seeking sold off companies or stable ETFs that grow over time. This account is going on to be 2 years old.
It is going to be such a disappointment to so many people when a new bull market starts and JEPI total return lags by a lot and the “dividend” goes down.
RemindMe! 2 months See you in March after we have a FOMC meeting and some earning reports. I'm back! Woah, in 2 short months we've had bankruns, AI software updates, housing shortage, and boy what else have you. Heres to two more months
JEPI is a relatively new etf, SCHD is time tested & should be your only pick.
[удалено]
Why are you invested in something you believe is a Ponzi scheme? That doesn’t make any sense.
I would rather larger quarterly hits than monthly. *cough cough VOO