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Options Jive - October 8, 2025 - Powering Your Portfolio with Utilities

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Manage episode 512315756 series 68544
Content provided by tastylive. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by tastylive or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.
Utility stocks offer essential services like electricity, water, and gas, presenting a defensive option for investors seeking lower volatility. These stocks typically feature higher dividend yields with current annualized yields ranging from 2.7% to 4.3% and low 30-day implied volatility. XLU, a popular utilities ETF, demonstrates lower correlation to the broader market and smaller percentage swings during both rallies and drawdowns. While utilities can be negatively impacted by rising interest rates due to their high debt levels, they may become more attractive as rates decrease. With low correlation to both equities and bonds, utilities can effectively diversify portfolios.
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1650 episodes

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iconShare
 
Manage episode 512315756 series 68544
Content provided by tastylive. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by tastylive or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.
Utility stocks offer essential services like electricity, water, and gas, presenting a defensive option for investors seeking lower volatility. These stocks typically feature higher dividend yields with current annualized yields ranging from 2.7% to 4.3% and low 30-day implied volatility. XLU, a popular utilities ETF, demonstrates lower correlation to the broader market and smaller percentage swings during both rallies and drawdowns. While utilities can be negatively impacted by rising interest rates due to their high debt levels, they may become more attractive as rates decrease. With low correlation to both equities and bonds, utilities can effectively diversify portfolios.
  continue reading

1650 episodes

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