Kim Ditches JEPQ for GPIQ, Citing Disappointing Performance

Kim, a 47-year-old investor, recently sold his entire holding of the JPMorgan Nasdaq Stock Premium Income ETF (JEPQ) after over a year. He had invested hundreds of millions in JEPQ on YouTube, drawn to its promise of a 13% dividend yield every year.

However, Kim was disappointed when the actual dividend came in lower than expected and the stock price did not rise significantly. In fact, JEPQ's stock price rose only 5% over the past year, while its dividend rate remained at 11%. Kim sold his shares with some profit and immediately switched to the Goldman Sachs Nasdaq 100 Core Premium Income ETF (GPIQ).

Kim chose GPIQ because it offered a similar dividend rate to JEPQ but had seen its stock price more than double in value. GPIQ is an active covered call ETF that aims to generate both capital gains and dividend income, making it more suitable for long-term investment.