Summary
Applies the JEPI framework to the Nasdaq 100. Higher underlying volatility may support higher income, but price swings can also be larger than broad-market income ETFs.
Core Facts
Underlying
Nasdaq 100 / U.S. tech-heavy equities
Option Approach
ELN-based OTM covered call
Expense Ratio
0.35%
Launch
2022-05
When It Can Be Useful
Useful when you want to keep tech exposure while reducing some volatility relative to pure growth index exposure.
Best Fit
- •Investors seeking both tech exposure and income
- •Long-term Nasdaq allocation with monthly distributions
- •Alternative to QQQ for lower volatility profile
Watch-outs
- •Upside cap can be costly during sharp Nasdaq rallies
- •Income may not fully offset large drawdowns
- •Performance dispersion can be high across entry points