YINT Is Up 84 Percent In 53 Days But Is This Income Monster Too Good To Trust?

IncomeShares Intel Options ETP

A few people ask me why I sometimes have tiny positions in products that are not part of my main strategy yet.

The reason is simple.

Whenever IncomeShares launch a new product, I normally buy 1 share as a small test position. Not because I am going heavy straight away, but because I want to watch how it behaves in real time.

I like to see:

How the price moves
How the income pays
How the NAV behaves
How it reacts to the underlying stock
How the total return looks after a few weeks or months
Whether the income is actually worth the risk

YINT has been one of those test positions.

I bought 1 share at £7.58 and it is now worth around £12.45.

So far, Snowball is showing:

Capital gain around 64 percent
Dividends received £1.46
Total return around 84 percent in 53 days
Yield on cost over 200 percent

Now, before anyone gets carried away, this is not normal Intel stock.

This is an options income ETP linked to Intel. That means the income is not guaranteed. The yield can move up or down depending on Intel, volatility, option premiums, NAV movement and market conditions.

So I do not look at this and think easy money.

I look at it as data.

That is why I test these products with 1 share first. It gives me real information before deciding whether something deserves a bigger place in the portfolio.

For me, the question is not just what is the yield.

The real question is:

Is the total return good?
Is the income sustainable enough?
Is the NAV holding up?
Is the risk worth it compared with the underlying stock?
Would I be happy holding this through a bad period?

At the moment, YINT has performed very strongly as a small test position, but I would still class it as high risk, high income and definitely not a safe core holding.

What do you think?

Would you keep YINT as a high income position and let it run?

Would you take profit after such a strong move?

Or would you avoid it because the yield looks too good to trust?

Interested to hear how others are looking at these single stock options income ETPs.