You're talking about living off your dividends in the now where the video was trying to show the power of reinvesting dividends over time and letting it build. JEPQ is just a few years old but it is off to a great start.

@@JerryRomineStocks Your thumbnail stated something quite different. PleAse take a look at your thumbnail again and revise. Thx.

Exactly, the thumbnail said 50k will beat your job, and the video said 50k and 30 years you could consider quitting your job. These are VERY different statements. My job, believe it or not, makes me more than 4k per year. It also makes me more than 50k per year. The misleading clickbait title is not appreciated.

his clickbait BS, like many out there @@DemsRNutless

Indeed. There's a lot of hopium in those statements.

You are most welcome. Always nice when friends and family are making money too!

Did you know that JP Morgan was the bank that bailed out the US government back in the 1880s?

You're welcome @davenorth2903! 🙏

Thanks for sharing! The math is a lot of fun and even if JEPQ slows down a little the numbers are still staggering.

Jepq is a nasdaq 100 cover called etf JEPI is a s&p 500 cover called etf schd is a dividend growth etf

Number 1 you invested 80,000 and number 2 $700 a month is $8400 a year. How you you possibly live off a $50,000 investment if you can't live off the $80,000 investment?

Appreciate your skepticism! It's vital to be cautious with financial projections. The dividend calculator serves as a starting point, offering a glimpse into potential outcomes based on historical data. Try it with your own stocks or ETFs to see how it works for you. Understanding the limitations and using it as part of a broader investment strategy is key. Happy investing!

@@JerryRomineStocks Your invalid usage of the dividend calculator, creates rainbows and lollipops. Not reality.

​@@MrSummitvilleI especially like the 6% annual inflation "bump". If inflation was 6% a year moving forward, the national median home price would be 600k and we'd be Venezuela lol

Well said. I suspect that in another few years, JEPQ will resemble QYLD.

SCHD is very popular but it pales in comparison to JEPQ.

People like it because it's more stable and a more mature fund. Keep in mind the fund is less than 2 years old and we've had a hell of a good run in the stock market those last couple years. So it's a bit of Pie in the Sky until more performance history is generated. It's a great addition but I wouldn't base my whole portfolio off it and I wouldn't dump the majority of my money into it either. That's why people like SCHD

@@andrewcarlson2178 Thank you. It's less than .5% of my portfolio, I'll only add if it drops below my cb.

With ETF's you can get both stock appreciation and dividends. To your point that stocks and dividends do not always go up we agree. Hopefully the point came across that investing 50K now in a good stock with dividends reinvested can give people a good return. What would you put 50K into?

@@JerryRomineStocks Well actually I have been contemplating putting $50,000 into JEPQ but for a different investment goal than you mentioned in your video. I believe that this etf is intended not for growth but for income. For a retiree faced with two choices either live off dividends or start selling down your portfolio. The main issue with selling your stocks is sequence of returns risk. If you have saved a lot then the 4% rule combined with the bucket strategy will work. I have not been able to save enough so living off dividends looks like a better way to deal with sequence of returns risk. To that end I have bought 10 shares to see how JEPQ works. One downside that one analyst put forth is that the dividends on these types of funds are effected by volatility. The last dividend is a case in point as it was .3417 per share. Thus the dividends will go up and down based on volatility. Because of the options strategy there will be some sacrifice of growth versus a pure index fund. I only need capital preservation plus enough growth to keep up with inflation.

I invested in JEPQ through my Roth IRA to benefit from tax-free earnings later on. Remember to consult your CPA, since most JEPQ distributions are taxed as ordinary income unless held in a tax-advantaged account.

XLK

Ok and? Writing a covered call on your own also “sacrifices growth for income” … isn’t that the point?

No problem 👍

i recall Jerry put out a video saying $47 was a good buy signal. Well since that last video, JEPQ never hit $47. It just kept climbing. NVIDIA makes up only 4% of this JEPQ Equity linked Note Covered Call ETF. Is JEPQ still worth the risk, even when the fund managers keep lowering the monthly dividend payouts , as the ETF climbs higher and higher?

When investing in a dividend ETF I want dividends and stock appreciation. If both are happening that's a good thing even if one is slowing down.

Many thanks!

You're very welcome!

If the market crashes most stocks will be brought down and JEPQ would not be an exception.

Thanks for sharing! I agree that the success of the last year is unsustainable. But, if it can outperform the S&P 500 in total gains that's still a strong win if we keep reinvesting the dividends.

Whats a good buy price per share ?

Perhaps, but if tech goes higher JEPQ will as well.

In my opinion, that is a perfect portfolio for a retiree

Thanks 👍. I'm glad you enjoy the videos.

From your profile picture I can see you are quite the optimist. LOL. What part of JEPQs success do you find fault with? Stock appreciation? How they generate income with covered calls? And, why do you think it is too late?

@@JerryRomineStocks I'm heavily invested in JEPQ. Though, I bought in last year in the $40s. It is certainly not too late to buy in, but the market may likely trade sideways now through 2024. Capital appreciation is greater than my dividend yields on this one. FEPI is a different story...

It's an opinion I know, and it's not horrible or rude necessarily when you compare it to some of the others you've gotten for just sharing some personal insights and illustrations on JEPQ, kudos to you for keeping your cool in the face of so much negativity. Thank you for making this video. Best to you Jerry 👍​@@JerryRomineStocks

Thank you for the kind words. I can handle criticism, especially when there's truth in the feedback about the dividend calculator's optimistic projections. My aim is to encourage critical thinking about investing and dividends, hoping it benefits some. Ideally, this might even inspire a few to start investing, leading to greater rewards in the future.

@@JerryRomineStocksYou didn't answer his questions Jerry.

Forever is a long time. Always take into consideration the ETFs performance and if anything fundamentally changes. I like it for the long term too.

Acknowledging a brief history as a limitation, this video aims to foster critical thinking and highlight the advantages of dividend reinvestment. It's essential for everyone to conduct their own thorough research and make investment decisions that best suit their individual needs and goals.

Thank you. I appreciate your feedback. And, 85%. OUCH!

JEPQ stock is up 15.88% in the last year PLUS you get the high dividend.

*_Great question_*. When you use a dividend yield calculator and notice that the yield drops every year in a 30-year forecast table, it's typically because the calculator is assuming an increase in the stock price over time, while holding the dividend payment constant or increasing it at a slower rate than the stock price. Dividend yield is calculated by dividing the annual dividend payment by the stock's current price. As the stock price increases and if the dividend increase does not match the pace of the stock price increase, the yield as a percentage of the stock price decreases.

You're welcome @projectkj7643! 🙏

You're welcome @Bryan-yq9pz! 🙏

I like how you think. 👊

Most charts have limitations.

You're welcome! 👊👊👊

Thank you! Cheers!

I appreciate the comment. I know people are mixed on the captions with many loving them and a few disliking them.

I think it's still winning. Even if you get called away and buy back fewer shares, those shares are at higher prices that pay the same dividend percentage. So the dividend you collect is more. I don't really get why in this video, his yield drops every month? His principle is rising, the yield percent should stay the same over time, since he's getting paid for more shares every month.

​@@BrisLS1the thinking there is that as the price per share goes up, yield as a percentage goes down. But he's got the shares constantly increasing so that appreciation is baked in

They will crash/pullback as well. The S&P 500 has averaged a 10% return for decades and there are up and down years. As the old saying goes only death and taxes are certain.

That's awesome. But what's happening to your equity position in the ETFs? Which ones so I can take a look.

No, you need 6 mil.... better move into a studio.

@@GeraldBeagan-ee6se How is that or are you joking?

He's joking.

@@jakejake7289 So I should feel good. 4% or 5% return should set me for life. I may have a 0 return year but on avg 4% return

🤔

Can it sustain that level of stock appreciation? Time will tell. But google "JEPQ Stock" then look at the 1 year chart. At the time of this posting: "+11.43 (27.31%)past year".

When you use a dividend yield calculator and notice that the yield drops every year in a 30-year forecast table, it's typically because the calculator is assuming an increase in the stock price over time, while holding the dividend payment constant or increasing it at a slower rate than the stock price. Dividend yield is calculated by dividing the annual dividend payment by the stock's current price. As the stock price increases and if the dividend increase does not match the pace of the stock price increase, the yield as a percentage of the stock price decreases.

JEPQ was launched May of 2022 and the stock price is up just over 7%. JEPQ Annualized Total Returns Since Inception is 14.47%. And when looking forward I ask myself if the expected total return is acceptable.

You're welcome @videotryouts1! 🙏

It will be a great performance indicator to see how the stock does in the upcoming correction.

Sounds like you have a solid plan. I have a mix in my portfolio including JEPQ which is nice since there is nothing to manage.

I hear you. Running the calculator on JEPQ is challenging and tweaking it is tough. Why? Because there is not really a great model to take into account the stock growing and the growing income from the covered calls. The covered calls will (or at least should) provide growing income which we have to classify as dividend growth in the calculator. Therefore, it cannot and would not be zero. I hope this helps you better understand the approach I used. And while we do not have to agree I'm happy that it encouraged you to think about and explore the possibilities.

@@JerryRomineStocks Thank you, I understand your logic. BTW, I do have JEPQ in my portfolio but it's less than 0.1% of my portfolio. It's more for fun than to help me get rich. Over 25% of my money is in VGT, QQQ, SCHG and MGK; another 25% in SCHD, VYM and VIG. It's distressing to see KZfaqrs recommend JEPQ, JEPI and similar investments. Many people cannot think and conduct further research for themselves and they will follow whatever advice they can get.

I try to drive home the message to never blindly follow anyone and ALWAYS do your due diligence and then draw your own conclusions. If my investments fail I want to blame myself, because that is the one thing I control. If I blindly follow someone there is not learning.

I wish. LOL. I'm definitely not getting any compensation from promoting JEPQ. It's just a stock that I like and own. 🙂

Thank you for drawing attention to the tax consequences and qualified and no-qualified dividends. I try to do as much in tax advantaged accounts as possible.

A lot can go right or wrong in 30 years. But, my goal was to inspire others to look at the possibilities and hopefully find something that will help them for the long term.

@@JerryRomineStocks WTF if it might be wrong... why not just a assume it is wrong and then say: or assume it is right and we have your outcome.

He also did not assume any further contributions to the ETF in 30 years. Quite conservative and not necessarily realistic for an investor.

​@@merlin0152add to the fact that most people that are 50k liquid are older. You won't see this stock for 30 years. It's just a model, but you're right, it would be more accurate to run it with at least modest contributions

He ran the model at 6% annual inflation. You're damned right 50k won't be anywhere that close to today. Interest would also be near 10% and you'd be making 6% or so in a money market or CD

Way to go. Every dollar earned helps pay the bills or support your lifestyle.

Totally hear you, but let's not miss the forest for the trees. Inflation is a pain, we're on the same page there. My example, especially with the dividend calculator, was just to illustrate a point within its limitations. It's not perfect, but it helps us get a glimpse into the complex world of investing amidst inflation.

I like how you thought this through and encourage everyone to use a dividend calculator to run the numbers for themselves. I appreciate the comment. Thanks.

Dividend calculators are helpful tools, but remember, they're not perfect. The goal is to encourage critical thinking about the advantages of dividends and the importance of reinvesting them. It's crucial for everyone to do their own research and form their own conclusions.

While I ❤ JEPQ I also like a little diversification. Something to consider.

Definitely optimistic. Lots of other possibilities and hopefully you'll play with a dividend calculator and find one that works for you. If you do let me know what you decide on.

I respectively disagree. An income etf can give both stock appreciation (hence the bullish position) and pay dividends. I appreciate your comment and welcome those with viewpoints different than my own.

For me it is easier to have the dividends automatically reinvested back into JEPQ. But I also own QQQ and QQQM. 😉

I believe we all have that concern. Time will tell.

JEPQ inception was May of 2022. It has outperformed the S and P all that time. It has however lagged QQQ but a decent amount.

It really depends on your goals. I own several ETFs with many of them tech focused.

No stop loss in place. Long term buy and hold.

MarketBeat

You have to understand that a dividend calculator has limitations and when we say that the S&P 500 has averaged a 10% return for decades that there were both bull and bear markets.

marketbeat.com

Congrats on your early start with a ROTH IRA. Check out this video and let me know what you think: kzfaq.info/get/bejne/pZ18rN1_2cyzmqc.html

@@JerryRomineStockslooks great! Do you have a an updated list of the these high earning ETFs. Like you mentioned JEPQ is a newly established ETF and makes me curious what else has become a legitimate player in the last 3 years!

No, but that might be a video I would consider making in the near future. Thanks for the idea.

www.marketbeat.com/dividends/calculator/

The trend is your friend, until the end. Dollar Cost Averaging is another investment strategy.

Look at the lifetime chart of Googl, MSFT, or other tech stocks? Now ask yourself if you think tech is dying. While nothing is a sure thing I believe tech over time will go higher.

Robert, I'm a big advocate of keep things simple and in your comfort zone so if you are not feeling this or any investment it's OK to walk away. And too your point if there is a sharp drop or prolonged decline in the market most stocks will feel it. 🙂

Thanks Jerry Had I not already been in these hot stocks that are held in the JEPQ for a long time I may be more inclined to invest. I learned about JEPQ from my neighbor who is a veteran investment advisor so it's not that I think it's a risky scheme. I probably wouldn't get the diversification that others would get. Good Luck!@@JerryRomineStocks

I'm 53 and I my goal right now is to make it to 100. And, with technology improving in a few years 120 might be a realistic possibility. How long do I actually have? Maybe I get hit by a bus tomorrow but the way I see it planning for the long term and making it to 100 has no downside. If I make it, then awesome because I'll have plenty of money and if I don't then my ride is over and my estate will have the funds. Either way it's a win for me. And, let's say that somewhere down the road you need the money. Whether it is in retirement accounts or somewhere else there will always be a way to get it.

For the long term? I think it is going higher. But for you, that's something only you should decide after doing your due diligence.

If you think and ETF is going to close then either don't invest in it or sell your shares.

I think it's a mix of ordinary dividends, STCG and some LTCG/qualified dividends. Read the prospectus. Just assume it's mostly ordinary income to be safe.

All distributions paid by JEPQ are taxable as ordinary income unless held in a tax-advantaged investment plan. But always consult with your CPA for details regarding your specific tax situation. 😉👊

😀😎😆

Google "JEPQ stock" and look at the 1 year chart. At the time of this post it is up "+10.43 (24.35%) past year". JEPQ is relatively new and it has a limited track record. The goal of the video is to encourage critical thought and show the power of dividend reinvesting. Of course everyone should do their own due diligence and then do what is best for them.

I appreciate the comment as a conversation starter and would love to know which YieldMax ETF you like so I can check it out. For those not familiar with Yieldmax here's the list: www.yieldmaxetfs.com/our-etfs/

lol yeildmax if you want to donate your equity

Plan on losing your investment ​@@JerryRomineStocks

What you say is true for some of the dividend stocks and ETFs. However, if done right the stocks can appreciate in the ETF and still have good income from writing covered calls. I make good money wheeling stocks but it takes more time than just buying an ETF and letting it do all of the work.

My share price on JEPQ has been increasing not decreasing.

Hi Micheal Weebles, your profit margin is quite inspiring and stunning for a beginner; how come? what is your biggest holding, do you make use of spreadsheet? Thanks.

Whatever you think is best for you. I like them both for different reasons.

If the expense ratio is holding you back you can always do everything yourself if you have the necessary funds to buy/sell the stocks/options. Many do not. It's your money, invest it as you see best.

There's a real chance here, and I hope it's clear to many that while dividend calculators are useful, they have their limits. The aim is to spark thinking and encourage everyone to see the benefits of dividends and the power of reinvesting them.

Thanks for pointing that out! You're right - JEPQ’s distributions are mostly non-qualified dividends, which means higher tax rates. Holding JEPQ in IRAs or tax-advantaged accounts, which is what I do, is definitely the way to go for retirement income. For long-term growth, QQQ or QQQM are definitely options to consider. I appreciate your comment!

Yes. And I still bought it this week. For the big picture I should be OK. Time will tell.

@@JerryRomineStocks Cool, just seems like tech is in a bubble of some sort to me. With the market this high i have sold some winners and have a chuck of money i was looking to park in for dividend income that's moderately safe fyi to wait for the next drop and pounce buying moment.

You cannot go broke taking profits. You could park your money with WeBull which is paying 5% interet right now and deploy it whenever you are ready.

Thanks for your feedback! Thumbnails and titles are designed to capture attention and give a sneak peek into the video's content. I always strive to ensure that the video delivers on the promise of the thumbnail and title by providing valuable and relevant content. My goal is to engage viewers from the start and offer them insights they find genuinely useful. If you watched the entire video you'll know that running the math you would have $1,670,963 in principle and $51,037 in dividends. How does that content not align with the title? *Did you even watch the video?*

🍺

Shot the ETFs and go with the one that best aligns with your goals.

While your full time job might make you some great money when you stop working the jobs income stops. But, your funds in JEPQ, SCHD, etc will still be giving you income plus the value has increased and now you can live off the 4% rule. I expect you would be net ahead by a considerable margin. But hey, you do what is best for you. No worries mate!

Let's just say I prefer tax advantaged accounts whenever possible.

@@JerryRomineStocks thank you.

Yes, the covered calls produce the premiums. There are no dividends but I did use a dividend calculator(hopefully I explained why in the video where everyone understood) since there is no covered call calculator to show this strategy.

Go for it! I'm staying long. 😉

Appreciate your perspective! If you prefer SCHD no worries. In a best case scenario both will perform well and profits for everyone.

@@JerryRomineStocks it’s not about preference or what is better you giving dangerous advice that can ruin people’s lives JEPQ is new the future results uncertain, magnificent 7 way over values in a bubble what will you tell the thousands of people who lost half there money should it crash in the next year or two? Be fair tell the good and bad and not make false comparisons to SCHD

@@jdedad Agree. The way he estimated with the calculator went over my head. The assumption is so unreal. The market does not go up in a straight line every year. Hope people can be more realistic with the real world when they are investing.

At the end of the day everyone should do their due diligence and invest how they feel is best for them. If you don't like the numbers that's 100% OK and I encourage you to use the dividend calculator to your numbers and draw your own conclusions. Here's what we know as a fact. JEPQ's total return for the last year was 23.9%. Will that ROI continue over time? No. But could it do 50% (12 %) or 30% (8%) over time? Maybe. Could it lose money. Absolutely. Hopefully everyone knows stocks have risk and no returns are guaranteed.

Do you question JP Morgan's financial stability? Is this a legit concern for you? If so then avoid their etfs.

Protected? It is not and its value reflects that of its holdings.

@@JerryRomineStocks It is overvalued now. I don't see tech surging the same way it did last year.

I 💯% respect your answer and choice. I believe most stocks are overvalued. However, I believe the general market values them higher and that their price will continue to rise for possibly years. It's kind of like you are at the grocery store and mangoes are selling for $2 per kilo and you think they are worth $1 per kilo. It doesn't matter what you think if you want mangoes the going price is $2. FYI: In Thailand tasty mangoes are about $1 per kilo right now and I ❤ mangoes. Life is good!

I'm 53 and using this approach to build wealth for me retirement years (over 60).

This should help: www.investopedia.com/terms/d/dividendgrowthrate.asp. I wish the dividend rate would get to 50% but that is not happening.

SCHD dividend growth should end up exceeding JEPQ income in the 20 year timeframe. No way you can expect this level of share price growth and absolutely not the dividend growth. Jerry usually has great vids. This ain't one of them.

​​​@@masoncncjepi or jepq? The latter is the one covered here. 😅 This ain't one of them. 😂

Check out the attached article from Jerry. Investopedia does a good job of explaining this. It explains why dividend growth investors do better than those that go after high dividend yields. Those are more likely to be cut and dissolve completely

@@brianh9014 fixed🤣

You should use any KZfaqr, myself included, as a point of reference and then research the stock/ETF on your own to draw your own conclusion. Nobody cares more about your money than you.

As a generalization I don't like them. The dividends are good but they take your equity. Somebody, anybody, prove me wrong. I'm happy if you do.

For me? JEPQ 💯%

There are lower for sure but Google says based on the average JEPQ is lower than most. www.google.com/search?q=what+is+the+average+etf+expense+ratio.&oq=what+is+the+average+etf+expense+ratio.+&gs_lcrp=EgZjaHJvbWUyBggAEEUYOTIGCAEQLhhA0gEIOTA1N2owajGoAgCwAgA&sourceid=chrome&ie=UTF-8

That can vary depending on how the CC ETF is ran. But, for many ETFs that can be true. Time will tell for JEPQ.