For some buyers, conventional dividend shares are simply not scratching the earnings itch. That has created new curiosity in sure high-yield exchange-traded funds.
These funds boast excessive yields, pushed by lined name methods focusing on indexes and even particular person shares.
Listed here are two such funds value a better look now.
The YieldMax TSLA Choice Revenue Technique ETF (TSLY) has been buying and selling since November 2022. The fund pays out month-to-month with a ahead yield of 62.37%, or $4.83 per share.
TSLY is down 43% on a year-to-date foundation and is down 54% over the previous 52 weeks.
The fund carries an expense ratio of 0.99%, or $99 on an preliminary $10,000 funding, and oversees belongings totaling about $1.09 billion.
TSLY’s technique is constructed round an artificial lined name method. As a substitute of holding Tesla (TSLA) inventory immediately, the fund creates artificial lengthy publicity by shopping for name choices and promoting put choices, typically with phrases of six months to a yr and strike costs close to Tesla’s market value.
To generate earnings, TSLY sells short-term name choices — usually expiring inside a month — at strike costs 0% to fifteen% above Tesla’s present value. This method permits for participation in Tesla’s value actions however caps upside to roughly 15% of month-to-month beneficial properties, whereas leaving the fund totally uncovered to draw back threat if Tesla shares fall.
The portfolio is structured to assist this options-based technique, with allocations together with bonds, money, shares, and quick inventory positions. Its prime holdings characteristic a mixture of Tesla choices contracts and U.S. Treasury notes with various maturities, making TSLY’s composition fairly totally different from conventional fairness ETFs.
The Roundhill S&P 500 Goal 20 Managed Distribution ETF (XPAY) is a part of the Roundhill Investments household and commenced buying and selling on Oct. 31, 2024. XPAY’s defining characteristic is its month-to-month distribution, with the most recent payout of $0.953 per share on June 11, 2025, and a ahead payout of $11.43. This interprets to ahead yield simply over 21%.
As of July 2, 2025, XPAY has posted a year-to-date decline of 4%. The overall belongings below administration are roughly $5.1 million.
XPAY is actively managed and tracks the efficiency of the S&P 500 Index ($SPX), however it does so with a singular twist. As a substitute of holding the index immediately, the fund invests at the least 80% of its internet belongings in deeply in-the-money FLEX Choices on the SPDR S&P 500 ETF Belief (SPY), offering artificial publicity to the S&P 500’s returns. This method permits XPAY to take care of fairness market participation whereas managing money flows to assist its formidable month-to-month distribution goal.
