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  5. SLVO: Would I be correct in concluding that Trump's on again off again tariffs are good for covered call ETF's ? [Credit Suisse X-Links Silver Call ETN IOPV]

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Q: Would I be correct in concluding that Trump's on again off again tariffs are good for covered call ETF's ? When he announces a tariff the market takes a dive. When he backs off the market rises ..... Under those conditions can not the call writers charge a higher premium ? I've noticed GDXY yielding 43% was at 52.9% the previous month. And SLVO is yielding 23.2% . Even the US treasury ETF HPYT is yielding 20% .....Even boring old UMAX a utility covered call ETF is yielding a hair under 16% ..... Do you see a relationship between the amount of the premiums covered call ETF's can get to " Yeah I'm going to tariff the snot out of you " to " Nah, i was just kidding " ..... market swings ?
Basically I'm wondering if Trump is the perfect storm for options .....
Asked by Garth on May 29, 2025
5i Research Answer:
Certainly volatilty of any kind typically increases options premiums and we think the thesis...

Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in GDXY.

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