Hamilton ETFs has introduced an innovative solution for investors seeking to maximize yield within the REITs sector.
The Hamilton REITs YIELD MAXIMIZER™ ETF (ticker: RMAX) is designed to maximize monthly income by employing an active covered call strategy on a portfolio of the largest REITs in North America. Specifically, RMAX is able to generate additional monthly income by writing call options on ~30% of the underlying portfolio of REITs, maintaining ~70% growth potential.
The Hamilton ETFs suite of YIELD MAXIMIZER™ ETFs utilize an “income-first” approach to covered call writing, using at-the-money options, which deliver much higher premiums versus out-of-the-money options. Moreover, the extra income generated by call option premiums is generally taxed as capital gains, a tax efficient source of income.
For more information on Hamilton ETFs (TSX: RMAX) please visit their website at hamiltonetfs.com.