this post was submitted on 20 Jun 2023
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Personal Finance Canada

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submitted 1 year ago* (last edited 1 year ago) by [email protected] to c/[email protected]
 

Some investors are attracted to covered call funds because of their high income yields and seemingly high risk-adjusted returns. However, the appearance of high income and high risk-adjusted returns is the result of clever financial product design, not of actual improvements to returns or risk-adjusted returns.

Let's inaugurate this community with a new video by The Ben Felix. ๐Ÿฅฒ

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[โ€“] [email protected] 4 points 1 year ago (1 children)

So let's add the description to the comments :)

Some investors are attracted to covered call funds because of their high income yields and seemingly high risk-adjusted returns. However, the appearance of high income and high risk-adjusted returns is the result of clever financial product design, not of actual improvements to returns or risk-adjusted returns.

PS : welcome :)

[โ€“] [email protected] 3 points 1 year ago* (last edited 1 year ago) (1 children)

Added to the body. I was gonna suggest this as a banner but I won't. ๐Ÿ˜…

[โ€“] [email protected] 3 points 1 year ago (1 children)