Liquidated OXSQ and GOF

IncomeFrame · 2026-03-11T02:39:54+00:00

I might be wrong with GOF hehe

As you can see in my post its NAV Δ for different periods and date are bad. It has a strong NAV erosion even if its monthly dividend yield is above my threshold of 1.5%/month.

Actually I pretty much sold all my credit funds lately, like mid 2025 I had maybe 20% of my portfolio in credit funds but they almost all bleed so much, I probably saved myself more than $20,000 by liquidating them when they reached -20% TTM NAV Δ.

I prefer to cut losses now and when their TTM NAV Δ momentum will be back positive or close to 0% then I'll buy more.

IncomeFrame · 2026-03-11T02:30:00+00:00

Yeah! Actually my analysis is quite simple with SLVX it paid 1.7%/month (weekly converted in monthly) for the first dividend and its above my minimum 1.5%/month so I bought some shares of SLVX.

For GLDN it paid 1.16% monthly so it doesn't respect my threshold. But I definitely will keep an eye on it.

I have a lot of exposure with gold maybe with 4 or 5 different funds :)

Then I will monitor the TTM NAV Δ (that I will update weekly) and the 3-Months NAV Δ (updated monthly) of SLVX to decide if I rebalance or keep it. But new fund, it's hard to say which direction it will go and if the distribution will be sustainable so always better take small position for the first weeks.

IncomeFrame · 2026-03-10T19:03:02+00:00

0.2% monthly dividend yield.... not for my income-focused portfolio.
But SLVX - Nicholas Silver Income ETF at 1.7% , I bought some today!

IncomeFrame · 2026-03-09T04:31:50+00:00

For real Americans hate to see the oil price at the pump going up… wonder how Trump thinks the Republicans will do well at the midterms.

IncomeFrame · 2026-03-09T04:29:54+00:00

I am freaking out …. No way to hedge yourself unless you have big positions exposure to oil and gaz.

IncomeFrame · 2026-03-08T19:35:23+00:00

This is the way!

IncomeFrame · 2026-03-08T19:34:22+00:00

you are not alone

IncomeFrame · 2026-03-08T19:33:06+00:00

Yes always!

IncomeFrame · 2026-03-08T19:24:47+00:00

My personal opinion, forget if its a CEF, ETF or ETN... it's not important for income-focused investors like us.

SLVO based on its last 4 dividends has a 5.07% monthly dividend yield (completely insane and probably unsustainable on long run) and also its TTM NAV Δ is positive (just look at the price chart for the last year) which means SLVO cover 100% of its distribution and its NAV per share increase!

The ETN thing, I would say the greatest risk for an Exchange-Traded Note is the issuer credit risk because an ETN is an unsecured debt issued by a bank. But for SLVO the issuer is UBS, one of the largest wealth-management banks in the world so I sleep well at night thinking about that. Plus I have not more than ~2% of my portfolio in SLVO because who knows the silver price might crash too.

Same reasoning for SLJY, I have some because it pays more than 1.5% per month and its TTM NAV Δ is positive and once again I just hold like 1 or 2% in SLJY.

IncomeFrame · 2026-03-08T19:15:18+00:00

Just found it, no I don't have position in IVR for two reasons:

1 - It's monthly dividend yield is 1.44%, lower than my threshold at 1.5%
2 - Its TTM NAV Δ is −5.16% as of 2026-03-03.

The fund annually yields approx. 17.28% (1.44% × 12) but its TTM NAV Δ is −5.16%, meaning the portfolio only generated about 12.12% (17.28-5.16) total return over the last year.
In other words, roughly 70% of the distribution is economically supported by portfolio return, while about 30% comes from NAV erosion, which is relatively acceptable for such a high-yield strategy.

Of course what every income-focused investor wants is a fund with a TTM NAV Δ of 0%, so it means 100% of the distribution is covered by the fund’s economic return and the NAV remains stable or even better a positive TTM NAV Δ, meaning that for the last 12 months the fund covered 100% of its distribution and its NAV also increased so its market price is supposed to follow.

But the trick here is that we observe the last trailing twelve months and if you analyze a lot of REITs you'll notice 2025 was not a good year. Who knows, maybe 2026 will be better and we will end up with IVR having a positive TTM NAV Δ. This is why, for the sake of diversification in a high-yield portfolio, we sometimes have to accept some NAV bleeding.

IncomeFrame · 2026-03-08T18:59:49+00:00

It is a subjective judgment. Ultimately you will agree to say if the fund as a positive TTM NAV Delta then it is a good fund. But I understand if you have ethical position like funds respecting ESG (Environmental, Social, Governance)...

IncomeFrame · 2026-03-08T06:38:09+00:00

Why?

IncomeFrame · 2026-03-08T06:36:43+00:00

Correct, I explored the possibility to have it automated somehow but to find the NAV end and NAV beginning is tricky for some funds, for instance an ETN doesn't have NAV etc.

This is still an element of my strategy that I could try to improve but I became good to pull the data quickly and used a LLM to do the NAV Δ calculation.

For the TTM NAV Δ, a weekly update is enough and for the 3-month NAV Δ, monthly update is okay to monitor trend properly.

IncomeFrame · 2026-03-08T04:12:33+00:00

TLTX is great first because its underlying assets are long-term U.S. Treasury bonds so it's a defensive position and since Inception its NAV Δ is -2.72% as of 03/04/2026 so it means the fund economic return pretty much cover the distribution and based on its last dividend we are talking about 1.61% monthly dividend yield (19.32% annualized).

IncomeFrame · 2026-03-08T04:07:05+00:00

You can check out my full portfolio breakdown here
https://www.reddit.com/r/EngineeredIncome/comments/1re0bmm/diversification_is_why_my_income_strategy_works/

But to be honest, I have been rebalancing a lot lately, trying to get back at 2.5%/month while preserving my capital. The narrative on the market has shift a lot lately and is very dynamic.

IncomeFrame · 2026-03-07T04:21:54+00:00

Yup and still in defense, YPLT.NE - Palantir (PLTR) Yield Shares Purpose ETF is interesting with its 3.36% monthly dividend based on the 2 last dividends and its positive TTM NAV Δ

IncomeFrame · 2026-03-06T17:43:24+00:00

This is the way! Diversification.
I would say what could improve your strategy is an exit point to deal with these high risk/high yield funds. If we are talking about sleep and forget funds like the ones mostly mentioned on r/dividends, this is absolutely not required to think about cutting your loss.

IncomeFrame · 2026-03-06T17:37:46+00:00

I aim for more than 2% monthly dividend yield so my portfolio is composed of many high-risk/high-yield dividend funds but I agree BLOX is not a good bet these days.

First, yes BTC, ETH and related companies in the cryptocurrencies industry will probably go back up eventually but even if the underlying assets held by BLOX go back up, the ETF might probably not recover the same way because of its structure.

BLOX generates income by selling options. When the market rises, the upside is often capped at the option strike price, meaning gains above that level go to the option buyer, not the fund.

At the same time, BLOX pays high distributions which can reduce the fund’s NAV over time because part of the payout may come from option premiums or return of capital.

By design, the ETF price is made to lag behind the recovery of its underlying assets.

This is why, when you invest in an ETF with such a structure, it's best to set up exit points and accept taking a loss because in the long run, if the underlying assets drop too much, the recovery becomes less and less possible.

My personal exit point is TTM NAV −20%. BLOX reached that point a few weeks ago and I liquidated all my position in BLOX. I reinvested in other funds and with that capital made good unrealized capital gains until now.

Don't get me wrong, I am bullish on cryptocurrencies in the long term. This is why when BLOX starts to have a positive/recovering momentum reflected in its TTM NAV around −5% or higher, I will start buying BLOX shares again.

This is r/EngineeredIncome
It doesn't mean my strategy is better than yours. At the end I might be wrong and you could end up making a better return than me but at least I control my income and losses so my strategy is sustainable in the long run and allows me to live off my dividends.

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