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BMO Covered Call Utilities ETF (ZWU)
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BMO Canadian High Dividend Covered Call ETF (ZWC)
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QRAFT AI-Enhanced U.S. High Dividend ETF (HDIV)
Q: I'm going to set up a TFSA for my daughter she has 41K in available room,for a 5 year duration with the hopes of cashing it in for a down payment on a house.My strategy is to put 10K in 4 funds by setting them up as DRIPs not worried about price appreciation(although that would be great)looking to get 6-10 % on dividends,would like to stay primarily Canadian could you comment on the 3 ETFs i am considering and also could you recommend 3 different options of ETFs that could work ....Thank you for your great service
5i Research Answer:
Since these are covered call ETFs, we would also consider XEI, XDV, CDZ, and VDY. Covered call ETFs cap capital appreciation up to a certain extent to be able to make those high distributions.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in ZWU.