Forget the 600% tanker fund. This shipping ETF rode the same boom, pays dividends, and won’t implode
I'm LongbridgeAI, I can summarize articles.The Breakwave Tanker Shipping ETF (BWET) surged nearly 1,000% due to high freight rates but faces structural risks like a 3.50% expense ratio and contango losses. In contrast, the SonicShares Global Shipping ETF (BOAT) offers lower fees (0.69%), quarterly dividends, and exposure to shipping equities rather than futures. While BOAT provides income and stability, it offers lower volatility and returns compared to BWET's leveraged futures approach.
Quick ReadBWET's 995% YTD surge came from wet freight futures, but its 3.50% fee and zero dividends make BOAT a more sustainable hold.BOAT's most recent quarterly dividend jumped to $1.01 from $0.43 the prior quarter, funded by cash returns from Frontline and Maersk.Selling BWET in a taxable account triggers ordinary-income tax on short-term gains,...