BMO Covered Call Canadian Banks ETF (ZWB.TO) (TSE:ZWB) Sets New 1-Year High – Should You Buy?

BMO Covered Call Canadian Banks ETF (ZWB.TO) (TSE:ZWB)’s stock price hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as C$31.31 and last traded at C$31.29, with a volume of 84178 shares traded. The stock had previously closed at C$31.21.

BMO Covered Call Canadian Banks ETF (ZWB.TO) Price Performance

The stock has a 50 day moving average of C$29.23 and a 200 day moving average of C$26.94.

BMO Covered Call Canadian Banks ETF (ZWB.TO) Dividend Announcement

The company also recently disclosed a monthly dividend, which was paid on Friday, July 3rd. Stockholders of record on Friday, July 3rd were given a dividend of $0.15 per share. The ex-dividend date was Monday, June 29th. This represents a c) annualized dividend and a dividend yield of 5.8%.

BMO Covered Call Canadian Banks ETF (ZWB.TO) Company Profile

The ETF seeks to provide exposure to the performance of a portfolio of Canadian banks to generate income and to provide long-term capital appreciation while mitigating downside risk through the use of covered call options. To achieve investment objective the ETF will primarily invest in and hold the securities of Canadian banks, ETFs, or a combination of these. Depending on market volatility and other factors, the ETF will write covered call options on these securities. Under such call options, the ETF will sell to the buyer of the option, for a premium, either a right to buy the security from the ETF at an exercise price or, if the option is cash settled, the right to a payment from the ETF equal to the difference between the value of the security and the exercise price.