How SPYI and QQQI Deliver Double-Digit Income - and What You Might Be Overlooking

"A simple way to diversify into hundreds of stocks is to purchase shares of funds that track or follow well-known indexes. A couple of examples are the SPDR S&P 500 ETF (NYSEARCA:SPY), which tracks the broad-market S&P 500 index, and the Invesco QQQ Trust (NYSEARCA:QQQ), which tracks the technology-focused NASDAQ 100 index. If you're on the hunt for double-digit yields, however, then these two funds might let you down. That's because the forward annual dividend yields are just 1.09% for SPY and 0.47% for QQQ."

"The NEOS S&P 500 High Income ETF and NEOS NASDAQ-100 High Income ETF offer easy exposure to the S&P 500 and NASDAQ 100, respectively, but with much higher yields. They achieve this with sophisticated options-trading strategies that typically include writing covered calls. In other words, you can still achieve instant portfolio diversification with SPYI and QQQI, just like you would with seemingly bland index funds like SPY and QQQ."

NEOS S&P 500 High Income ETF (SPYI) and NEOS NASDAQ-100 High Income ETF (QQQI) aim to deliver substantially higher cash distributions than their underlying index-tracking counterparts by employing options-trading strategies, typically covered-call writing. Both funds provide instant diversification across the S&P 500 and NASDAQ-100 constituents while charging annual operating expenses of 0.68%. The underlying broad-market ETFs SPY and QQQ have forward dividend yields near 1.09% and 0.47%, respectively, whereas SPYI and QQQI target much higher yields. Options income can boost distributions but may cap upside and introduce option-related and market risks. Full due diligence is necessary before investing.

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