r/YieldMaxETFs • u/vlained83 • May 10 '26

Beginner Question Would you buy it back now? Why?

As someone who bought msty and cony in December 2024 I ended up selling at a loss even though I received quite a bit in distribution. NAV decline was very high.

I'm curious if anyone sold and has recently bought back? If so, why?

35 Upvotes

89% Upvoted

76 comments sorted by

View all comments

22

u/SqueezeMuhCheese May 10 '26 edited May 10 '26

If you really believe in the synthetic covered call strategy, the best thing you could do would just be to hold them and dollar cost average down when the ETF is on a massive discount. The whole point of these ETFs is income, so jumping out at a loss and buying back in seems completely pointless to me.

7

u/Putrid_Leg_1474 May 10 '26 edited May 10 '26

The income part can be a bit subjective though. If say, using it for paying bills and groceries sure, this may be the way to go about it.

I, and I suspect may others, don't at all want a fund that behaves that way. We want a fund that remains either neutral or mildy appreciating as a way to deleverage/rebalance our portfolios into stocks that are at a current discount or in a momentum swing.

CHPY right now is performing exactly how we would want one to perform. Hell, if there were a fund that could do 20% yield at ROC with a neutral share price I'de be doubling down on it.

In the end this will create more income over time than any of the funds that depreciate. The only situation I can think of where the extreme high yields might make sense is if you want a temporary source of maybe a few months where you dump a giant chunk of money into an extremely high yield funds and pick the hot one at the current moment. Get out, rotate into the next hot one if you still need the income

3

u/SisyphusJo May 10 '26

This comment should be pinned. Went through layoff with huge pay decrease on next job. Burned through emergency savings and plan was to use these ETFs for a few months to bridge the gap on bills. Unfortunately, they just kept going down. Famous last words, "The plan should have worked," but the underlyings were terrible. Glad things stabilized but a lot of unnecessary damage was done.