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Investing In HDIV Stock | Canadian Dividend Stocks For Passive Income

The creator discusses the HDIV ETF, explaining why they do not recommend it due to its use of covered calls and leverage, which can limit upside potential and be destructive in bear markets. While acknowledging that some covered call ETFs like HMAX can perform well, the creator emphasizes that they often underperform underlying assets and suggests limiting their portfolio allocation to around 10-15%.

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ZBRANeutralLow ConvictionResearch Only

The creator uses ZEB, an equal-weight bank ETF, as a benchmark to illustrate the potential upside missed by covered call ETFs like HMAX.

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