Is this a highly accessible ETF the smartest investment you can make today?

So far 2025 has been a challenging year for investors. Thehe S&P 500 (Snpindex: ^gspc) and Nasdaq Composite (Nasdaqindex: ^ixic) have reduced 3.5% and 8.7%, respectively, as the current writing as concerns about the current and promised tariffs of the Trump administration, sticky inflation and increased interest rates have brought many investors from macroeconomically sensitive shares.

In this type of market, it is tempting to simply park your money in a high -profile savings account, a deposit certificate (CD) or some treasures in the US and call it a year. This would be a prudent move, but there are still some simple ways to generate more profits, even if you expect the market to trade away in the foreseeable future.

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One popular way to profit in a stagnant market is to invest in a stock-traded fund (ETF), which consistently writes covered calls to pay higher yields. Here’s a look at a popular one – JPMORGAN NASDAQ Own Capital Premium Income ETF (Nasdaq: Jepq) – To see why this may be just the smartest investment you can make today.

When you sell a covered call, you agree to sell an action that you own if it exceeds a certain price (the price of the strike) at a specific date (expiration date). The person who buys this call pays you a premium, but you are obliged to sell the strike on the strike if it is traded above that price when the option expires. If it is still traded below the price of the expiration date, you will keep both the shares and the premium with the leakage of the option.

Called calls will limit your bull market profits as the main stocks are likely to be called when they rise. But they can also cause fire on a bear market if you keep your lost shares too long to win these small bonuses.

Therefore, the side road market is usually a Goldilocks environment for covered conversations. If your shares continue to trade in a narrow and predictable range, you can repeatedly write covered calls to get some extra income.

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You can repeatedly write covered calls on your own shares to generate additional income every week or every month, but it is a time-consuming process that can make you sell some of your most promising shares prematurely. It will also not work unless you have already invested enough money in the main position, as you have to keep 100 shares per share to write a coverage. Finally, the covered calls are usually not effective taxes, as each sale is taxed as an independent trade.

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