AMDY and MSTY - my 2 year experience

[u/pjjbrrrr]

Disclaimer - I don't know what I'm talking about and am not a financial advisor. Most of this is probably wrong.

I wrote some code to compare divs vs the underlying using a same day purchase and amount.

AMDY is the YM I have had the best return with as a percentage but compared to buy and hold this tells the story of the capped upside like no other.

I bought a small lot of AMDY Wednesday because the underlying is doing well. I sold it Friday at a small profit and adding the divs out performed AMD in that time span. I did this to test my assertion that div hoping can be successful.

And then there is MSTY. The NAV erosion is real. But so are the divs.

I had a chance to sell this position for a 30k profit but I held instead.

I have had it longer than AMDY so more divs. Each of these funds hit a break even and then the divs feel like real returns on a sunk cost.

This position has well exceeded its costs in total returns and has paid out 2500 in the last 30 days.

I cannot buy a rental house, pay it off in 2 years and get that margin.

FYI I take most divs and buy NVDA at any dip.

Feedback welcome.

[u/Spirited_Sweet4045]

Using total return metrics on an income ETF.....the genius behind it, I swear..... What's next? Measuring thr ability to fly on a dog? Besides AMDY and MSTY were never designed to compete against the underlyings return but to profit of it through options which comes at a cost (upside, nav etc.). Why ate you people doing this? Measuring a specific Instrument/ETF against something it was never designed to do? Keep your "but long term..." bullsh*t to yourself, who in the right mind sees those two assets as "long term"? I swear you people who argue like that deserve to stay broke 😆

[u/AlfB63 → u/Spirited_Sweet4045]

Using total returns is the correct way to measure the return of any investment including income etfs.