Earning $40,000/month in dividends using Covered Call ETFs for Passive Income

Published 2025-06-18, 08:30 a/m
Updated 2025-06-18, 08:30 a/m

In this exclusive interview, we sit down with a retired Canadian investor (Perry) in their early 60s who shares how they’re generating consistent cash flow and passive income in the tune of $40,000 per month from high yield covered call ETFs in their $1.5 Million Dollars portfolio and how they are using their regular portfolio income distributions.

We dive into what drew them to a hybrid strategy of covered call ETFs and a few growth stocks, how they select their covered call ETFs based on certain rules (e.g. PLTE, ENCL, HHIS, HDIV, QQQY, QDTE, BANK, RDTE, PLTY, LFGY, MSTY, MSTE, HPYT, BKCL, CONY, USCL, AMZY, etc.) with weekly or monthly dividend income, the breakdown of their tracker and how the go about deciding on reinvesting their portfolio income distributions.

They also share the temporary impacts of Trump tariffs on their portfolio returns, and how much of their portfolio income they are using vs reinvesting it in their current retirements years. Of course, this is not financial advice and mainly one investor sharing their own real experience so far investing using this hybrid approach. Past performance is not a guarantee for future returns and investing in the stock market has its own risks and volatilities.

Original Content

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.