eaton vance mutual funds

He traded Covered Call Funds Change

Selling covered calls on stocks in your portfolio are a way to earn additional income. Many experts consider this strategy to be a low risk way to increase portfolio returns.

However, the options are complicated, much more so that seem at first. Few people, even many experienced investors, not fully understood. There is also a huge number of options to choose from. You can sell in the money calls, close to the money calls and out of the money calls. You can sell with expiration dates or three years ago in the future.

However, not all of these options will produce the same return, and some are riskier than others. Therefore, many people prefer to have professionals apply this strategy to their advantage. They just do not have the time, knowledge, confidence or consent to implement its own covered call writing strategy.

When you write a covered call, sell someone the right to buy 100 shares of those shares from you at a certain price (the strike) for a certain period (before the expiry date). Why sell something of value, is paid any money from it. That money is called the premium.

If the market price of the stock never reaches the strike by expiration date, the actions and keeps the premium. That's the ideal situation for a covered call writer, but life is not always ideal.

If the market price of shares up to and past the strike price, then those shares will be sold in its portfolio. You still kept the premium, and sales value. Unless, of course, for the commission. This situation is not considered ideal, because it lost the difference between the true market price and the strike value. But most investors covered call shrug their shoulders at this. They still have made a profit. And if they just bought and held the stock, they would not have realized the full gain anyway.

The exchange traded funds or ETFs is a form of mutual fund closed-end. Most have some sort index. Covered call writing is actively managed ETFs. That is, fund managers select which shares to buy and they visit these shares to be sold.

ETFs somehow using covered calls to increase their returns include:

Trust BlackRock Global Equity Opportunities (BOE), Dow 30 Premium & Dividend Fund (DPD), Eaton Vance Income Increased equity funded (EOI), Eaton Vance Income Increased equity funded (EOS), Eaton Vance Income Tax-Managed Buy-Write Finance (ETB), First Advantage Trust Fiduciary Management Covered Call Fund (FFA), Gabelli Gold, Natural Resources and Income are wary of (GGN), the Trustee / Claymore Dynamic Equity Income finance (HCE), ING Global Equity Dividend & Premium Fund (IGD), Global Advantage Nuveen Equity Premium (JLA) Nuveen Equity Income from premiums financed (JPZ), Equity Opportunity Fund of Nuveen Premium (JSN), Growth Come / Claymore Income Enahanced & Finance (LCM), Madison / Claymore Covered Call Fund (MCN), Nicholas-Applegate International & Premium Strategy Fund (NAI), NFJ Dividend , Premium and Interest Strategy Fund (NFJ), and PIMCO Global Stocksplus Revenue & Finance (PGP).

These funds are different. Some sell covered calls on stocks in their portfolios. Some are sold in only a portion of your portfolio, some in their entire portfolios. Some of them sell only outside money calls. Some also buy protective puts.

All dividends paid monthly or quarterly.

You should evaluate various ways. First, what is your management fees? The management fees of the lower background, higher long-term performance.