SUPERLIKE. thank you for breaking down differences based on taxes. Helps make decision on how to approach Dividend ETF or not approach them.
@wealthadventures2 ай бұрын
Thanks!
@Steverino707 ай бұрын
Dave, the reason JEPI had such a good 2022(losing less than SPY) was because it had a light concentration in Information technology. As you may recall the NASDAQ was down 30% and the S and P was minus 20%ish. JEPI has no downward protection by buying puts. I just checked and the current % in information technology for JEPI is 14.6%. This is much closer to the S and P 500 allocation. If technology takes another dive like 2022 you would have JEPI pretty much so follow suit. That said, I own JEPI but like SPYI more(own a bunch of it) because it distributes 1% of it's principle per month(12% annually) and 90% of its distributions are considered return of capital. If you own this in a taxable account as I do, paying 24% federal and 6% state it makes a HUGE difference.
@stevenlopez42037 ай бұрын
I totally agree about SPYI. Not throwing shade on JEPI as it is a good product in the covered call space. I think SPYI is a better SP 500 CC ETF because of it's (IRS 1256) tax rules on SPX option income (60% LT/40% ST) and/or the CONSTRUCTIVE Return of Capital which is non taxable.
@wealthadventures7 ай бұрын
Good points! One of the JEPI advantages (or potential advantages) is the active management with stock selections. Looks like it worked last time. I'm still watching SPYI but own a few shares.
@brucef12997 ай бұрын
100% agree to all of this. Investing for income is great, but even greater if you are investing the gains from decades of growth investing. Firmly in both camps right now with taxable accounts transitioning to income and retirement accounts still invested in growth for at least another 10 years.
@wealthadventures7 ай бұрын
Sounds about right Bruce. We are on a similar path.
@jaykenpachi67887 ай бұрын
I have both jepi and voo as well as vti
@wealthadventures7 ай бұрын
That works!
@JohnsFishTales7 ай бұрын
Always a wealth of information. Good job outta you.
@wealthadventures7 ай бұрын
Thank you!
@Sylvan_dB7 ай бұрын
The explicit goal of JEPI is "low volatility" and IIRC they say they seek about 80% of the return of the S&P 500 (which will be realized primarily as distributions). Think of it as an alternative to about 70% in VOO and 30% in intermediate bonds.
@wealthadventures7 ай бұрын
Sure but how do you stretch that into a 15 minute video? lol.
@Sylvan_dB7 ай бұрын
@@wealthadventures 😂
@spain777777 ай бұрын
Voo if you are not retiring, if you are 4 years or less to retire Jepi is better if you are going to live off the income
@wealthadventures7 ай бұрын
Somewhere in there pending your situation.
@Antandthegrasshopper7 ай бұрын
I'm in my early retirement JEPI and JEPQ are working out just fine for me to pay my bills. I don't worry about taxes as I need cash flow! Uncle Sam will always want its cut! If I had VOO, I'd selling some to get the similar income. It's fine in an up year however in a down year, it'll not be that pretty!
@wealthadventures7 ай бұрын
I think these are good products when you have a good use!
@CGroovy19757 ай бұрын
Another great, informative video, thanks Dave and happy 2024 (we hope it will be!)
@wealthadventures7 ай бұрын
Thanks Mister Groovy! lol. Happy 2024!
@jmcole567 ай бұрын
I have both at 67 years old. As stated, like the appreciation of voo and the distributions of jepi. Watch all your videos for information and really like your coverage of covered etf and clear explanations. If you have time, wondering if you noticed the increase in svol's expense ratio and your thoughts on it. Thanks!
@wealthadventures7 ай бұрын
Hi. According to some folks at Simplify... The expense ratio increase has to do with cash repo facilities they use to increase yields on cash and tbills. This increases the yield but is required to be reflected in the exp ratio per the SEC. Keep an eye out for this to decrease in the next few months with a move away from repo in SVOL. Now, enjoy your research on cash repo facilities! I did! Lol.
@brendanquinn68947 ай бұрын
You get wonderful results Dave ! Well done.
@wealthadventures7 ай бұрын
Thanks!
@bobjones88647 ай бұрын
Excellent video, clarity and brief, thanks.
@wealthadventures7 ай бұрын
Thanks!
@bigjj9747 ай бұрын
Great overall view of the differences and the advantages that each type of investing offers. This video falls in line with my thoughts for retirement. My Plan is simplified for retirement and is 3 pronged. 1. I will take the total amount of all my yearly expenses including food and fuel plus 10% and invest into funds like JEPI so as to replace my payroll check and receive the periodic dividends for daily expenses. 2. I will lock in 5 years of that total expenses number in 1 and invest into high grade U.S. government bonds for a cushion. 3. The rest will stay in main line ETF's such as the Spiders and Blackrock ETF for overall wealth building. Maybe there will be something to put into 2 and 3, we will see.
@Antandthegrasshopper7 ай бұрын
Great plan! I'm doing the same! Retired early and it's working for me!
@wealthadventures7 ай бұрын
Love it! Man with a plan.
@spain777777 ай бұрын
Dave great video, can you review Goldman etf, GPIX and GPIQ
@wealthadventures7 ай бұрын
Will do! On the list.
@hansschotterradler37727 ай бұрын
Thanks for another great video. We also pay state income tax on distributions. Obviously that depends on the state you live. Here in MD, I pay about 6%. I like the idea of dividend/income investing. But for my taxable account I switched my focus on lower yielding ETFs (SPGP, CGDV,).
@wealthadventures7 ай бұрын
We are around 3.75% in Ohio.
@KentuckyHillbilly2 ай бұрын
I think a blend of high growth and high yeild with proper use of margin is the best thing overall.. Hcmt qqh lgh should be looked into
@hotrod37697 ай бұрын
JEPQ really did well this last year. About 22% return and 10 yield.
@wealthadventures7 ай бұрын
Yes! It did well. Good product but if you took the risk of owning the Q's you were rewarded. QQQ was up over 50%. Maybe it will give some back...
@striperkid7 ай бұрын
Nice well rounded video.
@wealthadventures7 ай бұрын
Thanks!
@lucillekenney83117 ай бұрын
Very informative. Thank you!
@wealthadventures7 ай бұрын
Thanks!
@aftabkrishna72747 ай бұрын
Hi Dave, enjoyed the video! Would you suggest to put VOO, JEPI, and SPYI into traditional IRA where tax will be applied once I make withdrawals in retirement. Thanks in advance.
@yalelaw7 ай бұрын
happy to design the wealth adventures logo for you if you’d like
@Julia-3657 ай бұрын
Thanks Dave, love your presentation style & channel! I'm having a hard time deciding which 'bucket' I fall into - I'm 60 and about 5-7 yrs away from retirement. Am I close enough to start slowly building up to more income positions? I do have 1 already, you're right, it is fun to watch it 😊
@wealthadventures7 ай бұрын
Hi. I'm probably a little premature but I've started to buy a few. Without asking a bunch of questions, I feel you would only be giving up a small % for some reduced volatility... A small % in your portfolio would not be a big deal IMO.
@marcalvarado19157 ай бұрын
Hi Dave- I would be interested in seeing a video on how seasonality affects the stock market and trying to follow a historical market return pattern for investing for a better return. I know timing the market is a bad idea usually but the market does seem to behave similarly at different times of the year and maybe this is enough information for a better return than just buy and hold? Anyway, I love your content and your perspective…
@wealthadventures7 ай бұрын
Appreciate the idea. Always feels like seasonal trades get trumped by some strong economic data but worth looking into.
@jeffmurray36857 ай бұрын
Perfect Dave. Simple is good. VTI SCHD JEPI FOR JUICE! Which bond etf do you prefer? Thanks again!!!
@wealthadventures7 ай бұрын
Hi Jeff. I'm mostly high yield with bond ETFs. I have SPHY, HYD, and SCYB. I have been buying AGGH recently after reviewing it.
@prakashd69727 ай бұрын
Hi Can you please give your opinion on TLTW, LQDW, TSLY, NVDY ? Thanks
@wealthadventures7 ай бұрын
Hi. I recently looked at TLTW in this video: kzfaq.info/get/bejne/mOB5gsV3s9K7gJs.html And I looked at TSLY and NVDY is this one: kzfaq.info/get/bejne/hp9lZtNi3sXKiqc.html
@Ed-bj5eq7 ай бұрын
nice simple and efficient portfolio, did you think about including XLU in it ? using the same reasoning that you explained for XLV : XLU underperformed in 2023 but everybody needs utilities and if consumption grows so does XLU
@wealthadventures7 ай бұрын
That would be a fine addition and I like utilities in 2024 assuming rates start to come down.
@mikek31247 ай бұрын
What about buying Jepi/jepq/Spyi as a younger guy and letting the shares accumulate over time.? Today’s shares will be cheaper than they will in 20-30years . I don’t see anybody talking about this . Or is my idea going to my to back fire? I figure if I can get 1000 shares of something that distributes 10-12 % monthly and can build up to 10,000 by retirement that’s a good chunk of my monthly expense ( even if variable) .
@wealthadventures7 ай бұрын
I think you will do better with VOO and QQQ in the long run. You could run them side by side and see after a few years.
@moneymanfernando15947 ай бұрын
Thanks, how about an analysis of XYLG, QYLG and RYLG ??
@wealthadventures7 ай бұрын
Hi. They make no sense to me... Buy 50% XYLD and 50% VOO to make XYLG and save half the expense fee. Right? kzfaq.info/get/bejne/q7dlfdWnyJ-XqmQ.html
@injook35524 ай бұрын
Thank you for your analysis. I have XYLD 30% and DIVB 70% now. I buy those ETF from 50% of my salary. I may buy VTI instead of DIVB. I paid too much of tax in NY every year. So XYLD (30%) vs VTI (70%) should be good? My target is $3M ($1M of XYLD and $2M of VTI) in 15 years when I retire.
@wealthadventures4 ай бұрын
DIVB is a good fund and so is VTI. I'm not a fan of XYLD and prefer some of the newer versions like JEPI, SPYI, and GPIX. That NY state tax can eat you up as well... So if you still have time till retirement, might be good to avoid all of them in a taxable account.
@3profollower1064 ай бұрын
@@wealthadventures Thank you for your thoughtful remarks. This is my another google account. I didn't anticipate you would respond to my question. After watching some of your earlier videos, I decided to sell DIVB and purchase SCHD (40%) today. Additionally, I plan to sell XYLD within the next six months and acquire DIVO (40%), which you recommended in one of your previous videos. While I agree with your advice to steer clear of high-income ETFs, I am interesting to buy some JEPQ (
@abinlukasabraham3 ай бұрын
Would it be a good idea to have jepi or jepq in my Roth Ira? I have voo and vug already. I thought would be good to have a dividend focused etf for the snowball effect
@wealthadventures3 ай бұрын
They should be okay as a small portion.
@Philson7 ай бұрын
But what if you hold JEPI and use margin to buy others. Lower volatility makes sense then.
@wealthadventures7 ай бұрын
I'm one of those old anti margin guys but I get it.
@mohamedawad59247 ай бұрын
thnx sir for your content , what about an non-american investor , is he still going to pay those taxes ?
@peterfischer70847 ай бұрын
As a foreign investor I'm wondering whether there are equivalents of JEPI domiciled in a country which doesn't charge withholding tax, such as e.g. Ireland or the UK?
@wealthadventures7 ай бұрын
Good question... I'm not sure!
@Ed-bj5eq7 ай бұрын
there is an ETF Acc type from UBS in Ireland, 0.29% expenses, started in July 2020, 45% returns since inception but it is quite small with 6M EUROS AUM, I think Global X also has one in Ireland
@JelloisBoss6 ай бұрын
Hi Dave, what do you think about this portfolio as a 22 year old focused on growth, looking to DCA and hold for 10+ years: VOO, QQQM, SCHD, SCHG, XLK
@wealthadventures6 ай бұрын
Hello. All good products in my opinion. With plenty of time on your side, should see some nice growth. Just keep buying and stay committed. Good luck!
@JelloisBoss6 ай бұрын
@@wealthadventures Thank you!
@hpd_hero2 ай бұрын
Would you tax on dividends if it’s in an IRA?
@wealthadventures2 ай бұрын
Nope.
@nikhilrodye82267 ай бұрын
JEPI will always loose out to VOO in long term and even in short term.
@wealthadventures7 ай бұрын
Short term who knows? If the S&P is flat, not sure how JEPI will not outperform VOO.
@nikhilrodye82267 ай бұрын
You’re right.Flat is where the call options can outperform, collecting premiums and options not being called out
@djee027 ай бұрын
All investing is "income" investing. The goal of investments is to fund future spending. The aversion to having to sell some shares in a down market is irrational when you factor in long term opportunity cost, fees and taxes. These covered call products don't do anyone any favors.
@wealthadventures7 ай бұрын
I am with you 100%... Make that 98%. I think there is a use for these in some portfolios just like I think options have a use in a portfolio.
@johntorrington26726 ай бұрын
I see virtually no difference in performance. JEPI will give you way more money overall.