Hamilton ALL-IN-ONE COVERED CALL ETF (HDIV)
In this article, we continue with our all-in-one series, this time focusing on Hamilton's HDIV all-in-one CC ETF. This all-in-one CC ETF focuses more on the Canadian market. More specifically, the fund attempts to slighlty mimic the S&P/TSX 60. The S&P/TSX 60 is designed to measure the large-cap segment of the Canadian equity market . The fund also includes other interesting holdings that will be explored below.
The Hamilton Enhanced Multi-Sector Covered Call ETF (HDIV) is an investment fund designed to provide investors with attractive monthly income and potential long-term growth. Here’s a breakdown of its key features:
Objective:
HDIV aims to deliver monthly income and capital appreciation by investing in a diversified portfolio of Canadian sector-focused covered call ETFs. It also uses a modest amount of leverage to enhance returns.
Performance:
As of January 31, 2025, HDIV has shown strong performance:
• 1-Year Return: 28.81%
• 3-Year Annualized Return: 12.01%
• Since Inception (July 19, 2021): 14.26% annualized return
Yield:
HDIV offers an estimated annualized yield of 11.46%, based on the most recent distribution remaining unchanged for the next 12 months. This yield is distributed monthly to investors.
Portfolio Holdings:
HDIV invests in a mix of sector-specific covered call ETFs, including:
• Hamilton Enhanced Canadian Financials ETF (HFIN): 23.51%
• Hamilton Technology Yield Maximizer ETF (QMAX): 21.33%
• Hamilton Canadian Financials Yield Maximizer ETF (HMAX): 19.35%
• Hamilton Energy Yield Maximizer ETF (EMAX): 16.92%
• Hamilton Gold Producer Yield Maximizer ETF (AMAX): 11.55%
• Hamilton Utilities Yield Maximizer ETF (UMAX): 10.49%
• Hamilton Enhanced Utilities ETF (HUTS): 5.29%
• Hamilton Healthcare Yield Maximizer ETF (LMAX): 3.63%
• Hamilton REITs Yield Maximizer ETF (RMAX): 3.25%
• Hamilton U.S. T-Bill Yield Maximizer ETF (HBIL/U): 1.17%
Considerations:
While HDIV offers attractive income and growth potential, it’s important to note that the use of leverage can increase both returns and risks. Investors should assess their risk tolerance and investment goals before considering HDIV.
For more detailed information about HDIV, you can visit the official Hamilton ETFs website.