Retirement Guru: Dividend Income from QQQY
Besides good health, successful retirement living requires money. In my opinion, dividend income is the best as it is passive and it is an income I can earn while living anywhere in the world. And, if I leverage the power of compounding, it can provide me a huge advantage during my retirement.
One ETF I recently started investing in is QQQY. But before you run off and put your entire life savings into QQQY, I must caution you that QQQY is a high-risk high-return investment. As such, you should not invest more than you can afford to lose — in most instances, this should be no more than 5% of your capital.
What is QQQY?
QQQY is an exchange-traded fund (ETF) managed by Simplify Asset Management, designed to provide enhanced exposure to the Nasdaq-100 Index (NDX). QQQY employs a convexity strategy, using options to add exposure beyond the Nasdaq-100 Index. This involves buying and selling options to create a payoff structure that benefits from market movements. The options strategy aims to boost returns in both bullish and bearish markets by capitalizing on volatility and price movements.
Due to its complexity, QQQY is only suitable for investors who:
