Goodbye DLY

I’m glad that I didn’t really do anything to my portfolio in response to the Donald Trump tweet.

Today is “Black Friday.” I am not normally a shopper, but today I decided to splurge a little and buy a new computer. After all, my business is online, and working on a 6-year-old computer is a bit sad. My Windows 10 is about to go out of support and is not upgradeable! The horror!

And, in the market, I decided to ditch DLY. DLY is the DoubleLine Yield Opportunity Fund. I closed it with a decent profit – +22% annualized return over the past two years. I’ve been thinking about closing it for a while. It represented about 1% of my portfolio.

In it’s place, a new fund joins the roster: Global X Enhanced S&P 500 Covered Call ETF (USCL).

USCL writes covered calls on the S&P 500. Currently, it pays a decent 11.5% yield. There’s not much to say about it. It’s limiting the upside potential but I own plenty of S&P 500 so I don’t mind collecting some insurance on that.