JEPI: No Longer An Income-Focused Investor's Only Holdings, It's Time To Play Offense
Portfolio Pulse from Austin Hankwitz
The JPMorgan Equity Premium Income ETF (JEPI) and the NEOS S&P 500 High Income ETF (SPYI) are both options-based high-income ETFs. JEPI, with over $29 billion in assets under management, provides consistent monthly income and lower volatility, but struggles to capture total return against its benchmark index during bullish times. SPYI, on the other hand, has been able to capture over 97% of the S&P 500’s total return year-to-date while paying a 12.19% annual distribution yield to its investors. The author suggests that these two ETFs can complement each other in an income-focused investor's portfolio.
November 07, 2023 | 6:05 pm
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POSITIVE IMPACT
SPYI has been able to capture over 97% of the S&P 500’s total return year-to-date while paying a 12.19% annual distribution yield to its investors. This could make it attractive to investors seeking high returns during bullish times.
The ETF's ability to capture high returns during bullish market periods and its high annual distribution yield could make it attractive to investors seeking high returns during such periods.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
NEUTRAL IMPACT
JEPI provides consistent monthly income and lower volatility but struggles to capture total return against its benchmark index during bullish times. This could impact its attractiveness to investors seeking high returns during such periods.
The ETF's strategy of prioritizing low volatility and consistent income may limit its ability to capture high returns during bullish market periods. This could impact its attractiveness to investors seeking high returns during such periods.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100