(DIVP) The Advisors’ Inner - Ratings and Ratios

The Advisors’ Inner Circle Fund II (NYSE ARCA:DIVP) is an exchange-traded fund (ETF) that primarily focuses on generating income through dividend-paying common stocks and covered call options. Under normal market conditions, the fund allocates at least 80% of its net assets, plus any borrowings for investment purposes, to dividend-paying equities. To further enhance portfolio income, the fund employs a covered call writing strategy on 25-40% of its underlying equity holdings. This approach aims to balance income generation with potential capital appreciation, though the fund’s emphasis on fundamental value in security selection takes precedence over option writing opportunities.

From a technical standpoint, DIVP is trading at $26.28, slightly above its 20-day SMA of $25.87 but below its 50-day and 200-day SMAs of $25.49 and $25.17, respectively. This indicates potential short-term resistance. The Average True Range (ATR) of 0.18 reflects low volatility, suggesting a stable trading range. With an AUM of $14.21M, the fund operates with moderate scale, which may impact liquidity during periods of heightened market activity. Over the next three months, the fund is likely to trade sideways within a narrow range, with upside limited by its 50-day SMA and downside supported by its 200-day SMA. The low ATR suggests minimal price deviation, making it a conservative income-focused investment during this period.