QYLD Dividend Calculator – Estimate Your Monthly Distribution Income

QYLD (Global X NASDAQ 100 Covered Call ETF) is a monthly dividend ETF managed by Global X. It invests in Nasdaq 100 stocks while selling covered calls on 100% of holdings to generate high dividend income. Launched in 2013, it has an expense ratio of 0.60%.

QYLD pays dividends monthly. Payments are typically made at the end of each month, making it attractive for investors seeking regular cash flow.

QYLD sells call options on 100% of its Nasdaq 100 holdings every month. This generates high option premium income but means QYLD captures almost none of the upside when Nasdaq rises. Unlike JEPI which uses selective covered calls, QYLD's 100% approach provides higher yields but virtually no price appreciation potential.

DRIP (Dividend Reinvestment Plan) automatically uses your dividends to purchase additional shares. With QYLD, DRIP increases your share count, leading to higher total distributions over time. However, since QYLD has limited price appreciation, the compounding effect may be lower than dividend growth ETFs.

Yes, QYLD has principal loss risk. The 100% covered call strategy means QYLD misses out on Nasdaq gains but still experiences full losses when Nasdaq falls. Additionally, some distributions may be Return of Capital (ROC), which can erode NAV over time. This calculator defaults to 0% price growth to reflect this characteristic.

QYLD uses 100% covered calls on Nasdaq 100 with 10-12% yield but almost no price appreciation. JEPI uses selective covered calls on S&P 500 with 7-8% yield but retains some upside potential. QYLD is for maximum current income; JEPI balances income and growth.

Both are Nasdaq-based, but QYLD uses 100% covered calls (higher 10-12% yield, no upside) while JEPQ uses selective covered calls (lower 9-10% yield, some upside potential). QYLD (2013) also has a longer track record than JEPQ (2022).

For US investors, QYLD dividends may include ordinary income, qualified dividends, and Return of Capital, each taxed differently. ROC is tax-deferred but reduces cost basis. For international investors, a 15-30% withholding tax may apply depending on tax treaties with the US.

This calculator provides projections based on historical data and assumptions. QYLD's 100% covered call strategy can cause significant distribution fluctuations and potential NAV erosion, so actual returns may vary substantially. Please consult a financial advisor before making investment decisions.