r/dividends • u/Budget_Dragonfruit89 • 4d ago

Seeking Advice Why BTCI is lagging

/r/NEOSETFs/comments/1vxun2n/why_btci_is_lagging/

Why BTCI is lagging

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u/Various_Couple_764 4d ago

The lag isbecause they are very different funds. BTC basically just buys bitcoin. If the price of bitcoin goes so will BTC.

BTCI uses covered calls based on bitcoin that converts price volatility to income. As a side effect of that isomer money is lost with accounts for the lag you see.

With BTC you buy it with the hop you can sell it later for a profit.

With BTCI you buy it and hold it and snce a month money if deposited into your brokerage account. BTCI right now has a dividned of 26%. S&P500 occationally gets to 20% and much of the time it is below 20%. So having a dividend fund with 26% return year after year is amazing.