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Capital Required ๐Ÿšจ High Risk

Target: $3,000 / Month

Ticker: RYLD โ€ข Yield: 11.8% โ€ข Growth (5yr): 0.5%

Sector
Covered Call ETF
Estimated Capital Needed (Today)
$305,084.75
to generate $3,000 monthly immediately

๐Ÿ’ฐ Net: approx. $2,538 /mo after tax.

โณ The Waiting Game: Save Money by Holding

Currently, you need $305,084.75. But if RYLD grows its dividend by 0.5% annually, you can invest less today and hit your goal later.

Wait 1 Y Save $1,518
$303,567
Wait 3 Y Save $4,531
$300,554
Wait 5 Y Save $7,514
$297,571
Wait 10 Y Save $14,843
$290,242

*Assumes constant dividend reinvestment is NOT included, only dividend growth.

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โ˜ƒ๏ธ The Snowball Effect (10-Year DRIP)

Reinvesting all dividends with constant yield:

YearTotal ValueMonthly Income
Year 1$341,085+$3,354/mo
Year 3$426,330+$4,192/mo
Year 5$532,880+$5,240/mo
Year 10$930,762+$9,152/mo

Real Life Impact

โณ You just bought 'Time'. The 9-to-5 grind is now optional.

Analysis Breakdown

Introduction

Planning for a reliable $3000.00 monthly income stream? With Global X Russell 2000 Covered Call (RYLD), a capital allocation of roughly $305,084.75 could get you there. This calculation utilizes the current trailing yield of 11.80%.

About RYLD

Investors in the Covered Call ETF sector often watch Global X Russell 2000 Covered Call (RYLD). However, its high yield suggests higher volatility.

Investment Context

From an investment angle, committing $305,084.75 requires conviction in RYLD's future.

Disclaimer: Informational only. Not financial advice. Yields vary. Past performance does not guarantee future results.

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