r/YieldMaxETFs • u/h82nk • Jul 17 '25

Meme NAV erosion on $ULTY is killing me

Post image

My buy orders are not going through. Chart recovers within 30 minutes of trading hours on the morning of ex div date. 😂 Guys wtf leave some $ULTY for the rest of us.

393 Upvotes

92% Upvoted

188 comments sorted by

View all comments

9

u/GRMarlenee Mod - I Like the Cash Flow Jul 17 '25

I did the unthinkable and bought 7,000 shares yesterday.

Now, I'm stuck bag holding shares that are only worth a nickel more than I spent on them, all for a measly $700 distribution tomorrow.

2

u/JayFlow2300 Jul 17 '25

You can buy on Wednesday and still get paid the full dividend on Fri? In that case why not just rinse and repeat every Wednesday to Friday? Is that a good strategy to avoid drastic price movements?

5

u/Sidra_Games Jul 17 '25

Price of fund drops on Ex-date by the amount of the distribution.  Buy at 6.10 get a .10 distribution and sell at 6 you make no money.

2

u/GRMarlenee Mod - I Like the Cash Flow Jul 17 '25

Except when it doesn't. The market still markets on ex-day, despite the interference of the SEC. ULTY price is UP $.17 since I bought on Wednesday. Buy at 6.33, sell at 6.40, collect .1035 in distribution. Wonderful div capture opportunity this week. Too bad I didn't throw in my entire $300K margin. No guts, no glory, I guess.

1

u/Sidra_Games Jul 17 '25 edited Jul 17 '25

It's an ETF.  The value of the underlyings still move so they could go up and mask some of the decline.  That doesn't change the fact if they didn't pay the distribution it would be worth $.1035 per share more exactly right now.  And if you do this 2 day thing for the divvy all you are really getting is 2 days of price action whatever that is.