TSLY: Trading Income For Capital Gains On Tesla Shares
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Michael Del Monte6.24K FollowersFollow5ShareSavePlay(9min)CommentsSummaryThe YieldMax TSLA Option Income Strategy ETF offers high current income via an actively managed options strategy on Tesla shares.TSLY provides a forward distribution yield of 125.69%, with most distributions classified as return of capital, favoring taxable accounts for deferred tax benefits.The ETF is highly liquid, with $1.21b in net assets and a 4bps bid/ask spread, making it suitable for active and tactical investors.TSLY's concentrated single-stock derivatives exposure increases risk and volatility, which means it is best used as a component within a diversified portfolio.
Getty Images The YieldMax TSLA Option Income Strategy ETF (TSLY) is an actively managed exchange-traded fund designed to provide investors with current income by indirectly investing in Tesla (TSLA) shares through an options' strategy. YieldMax’s options ETFs are known for highThis article was written byMichael Del Monte6.24K FollowersFollowMonte Independent Investment Research: Michael Del Monte is a buy-side equity analyst with expertise in the technology, energy, industrials, and materials sectors. Prior to working in the investment management industry, Michael spent over a decade in professional services working across industries that include O&G, OFS, Midstream, Industrials, Information Technology, EPC Services, and consumer discretionary.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.