- Hamilton U.S. Bond YIELD MAXIMIZER TM ETF (HBND)
- Harvest Premium Yield Treasury ETF (HPYT)
- iShares 20+ Year Treasury Bond BuyWrite Strategy ETF (TLTW)
Q: I am looking to move some recent high risk stock gains into a dividend/yield product (>7%) that is not a direct function of market equities as I think markets are very overbought. Would something like HYPT be appropriate and can you suggest a few other ideas? Thank you
5i Research Answer:
HPYT could work for a high yield option but there are still market risks with a covered call strategy. If interest rates spiked up on long bonds there could still be losses. We are generally fine with HPYT for exposure to this type of strategy and it offers a significant yield at 17%. Another similar option could be HBND or for a USD option, TLTW.