The Amplify CWP Enhanced Dividend Income ETF (DIVO) utilizes an active covered call strategy on a focused portfolio of high-quality, large-cap stocks to generate an attractive dividend yield, currently around 4.7%. Its unique approach, which involves writing covered calls on individual stock positions rather than an entire index, aims to both enhance income and preserve capital appreciation potential. This strategy has consistently attracted significant institutional capital, highlighting its appeal in the income-ETF market.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
A Closer Look at DIVO: An Active Approach to Dividend Enhancement
The Amplify CWP Enhanced Dividend Income ETF (DIVO) utilizes an active covered call strategy on a focused portfolio of high-quality, large-cap stocks to generate an attractive dividend yield, currently around 4.7%. Its unique approach, which involves writing covered calls on individual stock positions rather than an entire index, aims to both enhance income and preserve capital appreciation potential. This strategy has consistently attracted significant institutional capital, highlighting its appeal in the income-ETF market.