NEOS Nasdaq 100 High Income ETF (NASDAQ: QQQI)

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The Fund is an actively-managed exchange-traded fund that seeks to achieve its investment objective by investing in a portfolio of stocks that make up the Nasdaq-100 Index and a call options strategy, that consists of written (sold) call options on the Nasdaq-100 Index. The Fund seeks to generate high monthly income from the premiums earned from the NDX call options as well as the dividends received from the Funds equity holdings. The Adviser may under certain circumstances enter a call spread strategy where it purchases long (bought) calls in addition to the written (sold) call options..

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A few months ago, I analyzed the total performance of the three most popular S&amp;P 500 covered call ETFs in 2023: the JPMorgan Equity Premium Income ETF (ARCA: JEPI), the GlobalX S&amp;P500 Covered Call ETF (ARCA: XYLD), and the NEOS S&amp;P 500 High Income ETF (BATS: SPYI). 

QQQI: The Undiscovered Nasdaq-100 Covered Call ETF You&#39;ve Been Looking For (14.4% Distribution Yield)

NEOS Nasdaq 100 High Income ETF

Workers employed at Chinese EV maker BYD Co&#8217;s (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDY#OTC">BYDDY</a>) factory in Brazil reportedly earned nearly twice the Chinese hourly minimum wage in many regions, despite questionable working conditions.
What Happened: Chinese workers hired by BYD&#8217;s contractor Jinjiang and employed at the factory earned about $70 per 10-hour shift, Reuters reported. 
However, the workers had to hand their passports to their new employers and let most of their income be sent directly to China as well as pay a $900 deposit which they could retrieve only after working for six months, the report said, citing a contract signed by one of the several workers who Brazilian authorities said were rescued in December.
Brazilian authorities said in December that they have&nbsp;<a href="https://www.benzinga.com/government/regulations/24/12/42667814/brazil-authorities-halt-work-at-byd-factory-site-after-workers-found-in-slavery-like-conditions" target="_blank" rel="noreferrer noopener">halted the construction of the plant that BYD&nbsp;is building in Salvador</a>, Bahia after finding workers living and working in conditions analogous to &#8220;slavery.&#8221;
Authorities ordered that the construction of the factory in Bahia be stopped after rescuing 163 people working at the site, according to a statement by the Labor Prosecutor&#8217;s Office (MPT). The MPT also noted that the conditions constituted "forced labor." If a worker were to terminate their employment contract after six months, they would leave the country without any pay for their work since the company deducted their airfare to and from Brazil, in addition to other costs, the statement said.
Certain clauses in the agreement viewed by Reuters violate labor laws in both Brazil and China, the report said, citing experts and authorities. One of the clauses also gives the firm the power to extend the labor contract by itself for six months, Reuters added. 
Why It Matters: Jinjiang Group&nbsp;has previously said that the Brazilian authority's portrayal of its employees working at the Chinese EV giant's factory in Brazil as "enslaved" is "completely inconsistent with facts."
Brazilian inspectors have provided no evidence that the EV maker knew of the violations at the construction site. However, according to the acting chief of Brazil&#8217;s Division of Inspection for the Eradication of Slave Labor Matheus Viana&#8216;s statement to Reuters, BYD is &#8220;directly responsible&#8221; for the actions of its contractor on its site. 
BYD was planning to start production at the factory in Brazil in 2025. The company is China's largest EV maker and makes plug-in hybrids and battery electric vehicles which are sold in China, Europe, and also Brazil.&nbsp;BYD even <a href="https://www.benzinga.com/25/01/42780142/chinese-player-byd-overtakes-tesla-yet-again-as-worlds-biggest-ev-seller-in-q4">trumped American EV giant Tesla </a>as the world&#8217;s largest battery electric vehicle seller in the last quarter of 2024. 
Check out more of Benzinga's Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link.</a>
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/01/43375903/tesla-researcher-estimates-drop-in-ev-deliveries-for-2025-despite-promise-of-new-models" target="_blank" rel="noreferrer noopener">Tesla Researcher Predicts Drop In Deliveries For Elon Musk&#8217;s EV Giant In 2025 Despite New Model Launches</a></li>
</ul>
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BYD's Chinese Workers At Brazilian Factory Signed Contracts With Potential Labor Law Breaches: Report

JPMorgan Chase &amp; Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JPM#NYSE">JPM</a>) is preparing to deliver gold bullion valued at over $4 billion in New York this February, amid rising prices and increased demand for the precious metal.
What Happened: The bank, recognized as the largest bullion dealer globally, announced on Thursday. According to a report <a href="https://www.bloomberg.com/news/articles/2025-01-31/jpmorgan-plans-4-billion-gold-delivery-in-us-amid-tariff-fears?srnd=homepage-asia">by</a> Bloomberg, JPMorgan plans to deliver gold against contracts expiring in February on the CME Group&#8217;s Comex.
The delivery notices, amounting to 30 million troy ounces, represent the second-largest tranche on record since 1994.
Gold futures on Comex have surpassed London spot prices due to tariff concerns following President Donald Trump&#8217;s election. This has created a profitable arbitrage opportunity for banks capable of swiftly moving bullion between trading hubs.
Similar pricing trends have been observed in other Comex contracts, prompting traders to fly silver into the U.S. for the first time, despite its usual cost-prohibitive nature, the report added. While millions of ounces trade daily on Comex, only a small fraction typically results in physical delivery.
Since the U.S. election, physical inventories in Comex depositories have increased by 13 million ounces, valued at approximately $38 billion.
It remains unclear if JPMorgan and other banks are delivering bullion for arbitrage or to exit short positions.
Why It Matters: The timing of JPMorgan&#8217;s gold delivery coincides with <a href="https://www.benzinga.com/25/02/43418661/trump-announces-new-tariffs-on-goods-from-canada-mexico-and-china-will-go-into-effect-from-feb-1">Trump&#8217;s announcement</a> of new tariffs on imports from Canada, Mexico, and China, effective Feb. 1. These tariffs have already caused ripples in financial markets, raising concerns about their economic impact.
Gold has recently hit a record high, surpassing $2,790, driven by central banks&#8217; easing stance and increased demand for safe-haven assets. Several major central banks have signaled a more dovish stance on inflation, leading speculators to anticipate lower borrowing costs, further supporting gold prices.
Additionally, speculation over higher U.S. tariffs has led to increased demand for gold by central banks, with disruptions affecting trading in London.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/01/43417749/elon-musks-aides-block-government-workers-from-federal-data-systems-report">Elon Musk&#8217;s Aides Block Government Workers From Federal Data Systems: Report</a></li>
</ul>
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock

Government

Global

JPMorgan To Deliver $4 Billion In Gold Amid Rising Prices, Tariff Concerns: Report

President Donald Trump has confirmed that the U.S. will impose new tariffs on imports from Canada, Mexico, and China. The tariffs, set to take effect this Saturday, have already caused ripples in financial markets and raised concerns about economic impacts.
What Happened: Trump declared on Friday that he will enforce new tariffs of 25% on imports from Mexico and Canada, and 10% on goods from China. According to a report by Reuters, these tariffs will take effect on Saturday.
Trump mentioned a potential exception for Canadian oil, which would face a 10% tariff instead of 25%. However, he hinted at broader tariffs on oil and natural gas by mid-February, causing a spike in oil prices.
He emphasized that these measures aim to curb migrant and fentanyl flows over the U.S. border.
In the Oval Office, Trump acknowledged potential short-term disruptions and higher consumer costs. He dismissed the idea of delaying the tariffs, stating, &#8220;No, no. Not right now, no.&#8221;
Trump also denied using tariff threats as a bargaining tool, asserting, &#8220;It&#8217;s something we&#8217;re doing, and we&#8217;ll possibly very substantially increase it, or not, we&#8217;ll see how it is," as per the report.
Financial markets experienced volatility, as the Canadian dollar and Mexican peso weakened, while U.S. Treasury bond yields rose. Karoline Leavitt, a White House spokesperson, confirmed the tariffs&#8217; implementation on Saturday, with further details to follow, according to the report.
Why It Matters: The decision to impose tariffs on key trading partners like Canada, Mexico, and China is part of a broader strategy to address issues such as illegal immigration and drug trafficking, particularly fentanyl.
According to <a href="https://www.benzinga.com/news/global/25/01/43401971/white-house-confirms-tariffs-on-key-us-trade-partners-this-weekend">an earlier report</a>, the White House has confirmed these tariffs, which are expected to impact the U.S. economy significantly.
The tariffs follow a series of <a href="https://www.benzinga.com/government/regulations/25/01/43353698/trump-slaps-25-tariffs-on-canada-mexico-loonie-peso-slide-oil-climbs">threats and confirmations</a> from Trump, which will have potential economic disruptions and rising costs for everyday goods. The U.S. imports substantial amounts of goods from these countries, with Mexico being the largest trading partner in terms of imports.
Additionally, <a href="https://www.benzinga.com/markets/equities/25/01/43216784/doug-ford-takes-on-trump-ontario-premier-threatens-swift-retaliation-in-trade-war">Ontario Premier Doug Ford</a> has threatened economic retaliation if Canada is targeted, indicating potential further escalation in trade tensions.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/01/43417749/elon-musks-aides-block-government-workers-from-federal-data-systems-report">Elon Musk&#8217;s Aides Block Government Workers From Federal Data Systems: Report</a></li>
</ul>
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock

Trump Announces New Tariffs On Goods From Canada, Mexico And China: Will Go Into Effect From Feb 1

Microsoft Corp.-backed (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) OpenAI has introduced the o3-mini, a new model in its reasoning series. It will be available on Friday in both ChatGPT and the API.
What Happened: The o3-mini model, previewed in December, promises to offer "exceptional capabilities" in science, math, and coding, while maintaining low costs and reduced latency.
It is the first small reasoning model from OpenAI to support developer features such as function calling and structured outputs, making it ready for production use.
According to OpenAI, the o3-mini will replace the o1-mini in the model picker, offering higher rate limits and lower latency. This makes it a compelling choice for tasks requiring coding, science, technology, engineering, and mathematics (STEM,) and logical problem-solving.
The model is rolling out to select developers in API usage tiers 3-5, with broader access for ChatGPT Plus, Team, and Pro users.
OpenAI emphasizes that o3-mini is optimized for STEM reasoning. Its medium reasoning effort matches the performance of the o1 model. It delivers faster responses, and evaluations show a 39% reduction in major errors on difficult questions compared to the o1-mini.
Why It Matters: The launch of the o3-mini model comes amid <a href="https://www.benzinga.com/news/25/01/43400191/openais-100-billion-texas-stargate-data-center-will-reportedly-employ-just-57-people-with-57600-annual-salaries">OpenAI&#8217;s significant investments</a> in infrastructure, such as the $100 billion Stargate data center in Texas.
Additionally, <a href="https://www.benzinga.com/news/25/01/43219324/chill-and-cut-your-expectations-100x-says-openai-ceo-sam-altman-we-are-not-gonna-deploy-agi-next-month-nor-have-we-built-it">OpenAI CEO Sam Altman</a> recently addressed the hype surrounding artificial intelligence, urging the public to temper expectations about the development of Artificial General Intelligence (AGI).
Altman&#8217;s comments suggest that while OpenAI is making strides in AI capabilities, the journey toward AGI is still ongoing.
Furthermore, the introduction of the o3-mini follows the release of OpenAI&#8217;s &#8220;<a href="https://www.benzinga.com/25/01/43186741/openai-debuts-operator-ai-agent-that-performs-web-tasks-but-early-error-has-sam-altman-scrambling-for-a-quick-fix">Operator</a>&#8221; AI agent, which was designed to autonomously perform web tasks. This agent, available to ChatGPT Pro subscribers, integrates advanced reasoning and vision capabilities, showcasing OpenAI&#8217;s continuous innovation in AI technology.
Check out more of Benzinga's Consumer Tech coverage by <a href="https://www.benzinga.com/topic/consumer-tech">following this link</a>.
Read Next:
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<li><a href="https://www.benzinga.com/25/01/43186741/openai-debuts-operator-ai-agent-that-performs-web-tasks-but-early-error-has-sam-altman-scrambling-for-a-quick-fix">OpenAI Debuts &#8216;Operator&#8217; AI Agent That Performs Web Tasks, But Early Error Has Sam Altman Scrambling For A Quick Fix</a></li>
</ul>
&nbsp;Disclaimer: This content was partially produced with the help of <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock

OpenAI Launches o3-mini Model, Makes It Free After DeepSeek's Launch

On Friday, Cathie Wood-led Ark Invest made significant trades involving CRISPR Therapeutics AG (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/CRSP#NASDAQ">CRSP</a>), 10X Genomics Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TXG#NASDAQ">TXG</a>), Roblox Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RBLX#NYSE">RBLX</a>), Archer Aviation Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ACHR#NYSE">ACHR</a>), Nu Holdings Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NU#NYSE">NU</a>), Adyen NV (OTC:<a class="ticker" href="https://www.benzinga.com/stock/ADYEY#OTC">ADYEY</a>), Accolade Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ACCD#NASDAQ">ACCD</a>), and AeroVironment Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVAV#NASDAQ">AVAV</a>).
The CRSP Trade
Ark Invest purchased shares of CRISPR Therapeutics AG for both its ARK Genomic Revolution ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKG#BATS">ARKG</a>) and Ark Innovation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKK#NYSE">ARKK</a>). The ARKG ETF bought 43,467 shares, while the ARKK ETF acquired 248,748 shares.
Based on the closing price of $41.59 on the same day, the total value of the purchased shares amounts to approximately $12.14 million.
The TXG Trade
Another significant buy was 10X Genomics. Ark Invest added 11,137 shares to its ARKG ETF and 63,395 shares to its ARKK ETF. Given the closing price of $15.00, the total value of the purchased shares is around $1.12 million.
The RBLX and ACHR Trades
On the sell side, Ark Invest reduced its holdings in Roblox Corp. and Archer Aviation. The firm sold 46,459 shares of RBLX and 374,904 shares of ACHR from its ARKK ETF. Based on the closing prices of $71.07 and $9.45 respectively, the total value of the sold shares is approximately $4.12 million.
Other Key Trades:
Ark Invest sold 307,632 shares of Accolade Inc. from its ARKG ETF.
The firm also reduced its holdings in Nu Holdings and Adyen NV from its ARK Next Generation Internet ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKW#NYSE">ARKW</a>), selling 300 and 5,600 shares respectively.
From its ARK Space Exploration &amp; Innovation ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKX#BATS">ARKX</a>), Ark Invest sold 2,671 shares of AeroVironment Inc.
These trades provide a glimpse into Ark Invest&#8217;s strategy and the sectors it is currently focusing on. The firm&#8217;s moves are closely watched by investors due to its strong historical performance.
&nbsp;Read Next:
<a href="https://www.benzinga.com/25/01/43373954/cathie-woods-ark-invest-dumps-over-10-million-worth-of-palantir-stock-as-ai-competition-heats-up">Cathie Wood&#8217;s Ark Invest Dumps Over $10 Million Worth Of Palantir Stock As AI Competition Heats U</a>
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Ark Invest

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Cathie Wood's Ark Invest Bets On Biotech With CRISPR Therapeutics Investment, Exits Roblox

Editor&#8217;s Note: This story was published previously, updates to incorrect quotations were made.
How do you define success? A meaningful career? Quality time with loved ones? Or is it just about the dollar signs? If you ask most Americans, success comes with a steep price tag. According to a 2024 survey from Empower, the average American says you'd <a href="https://www.benzinga.com/personal-finance/24/09/40711869/how-rich-are-you-heres-the-net-worth-that-defines-upper-middle-and-lower-class">need a net worth of $5.3 million</a> to feel "successful."
Here's where it gets absurd: That number is incredibly close to the $5.8 million net worth required to <a href="https://www.benzinga.com/personal-finance/24/12/42731749/how-wealthy-are-you-heres-a-look-at-the-net-worth-you-need-to-rank-in-the-top-10-5-and-1">land in the top 1% of U.S. households</a>, according to the Wealth Report by Knight Frank and Douglas Elliman. In other words, the bar for success isn't just high – it's exclusive. Most people define success as something only the wealthiest can achieve.&nbsp;
Don't Miss:
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<li>The average American couple has saved this much money for retirement —<a href="http://www.benzinga.com/money/smartasset"> How do you compare</a>?</li>
<li><a href="https://www.benzinga.com/money/mark-cubans-annuity-adv">Many are surprised by Mark Cuban's advice for lotto winners: Cash or annuity?</a></li>
</ul>
The Generational Breakdown
When it comes to what success looks like, age matters. Here's what different generations said when asked about the net worth and <a href="https://www.benzinga.com/personal-finance/24/12/42350109/are-you-earning-enough-to-be-considered-rich-heres-what-the-top-5-are-raking-in-annually">salary they'd need</a> to feel like they've "made it":
• Baby Boomers (60-78): A net worth of $1 million and a $99,874 annual salary feels like success to this group. Modest compared to younger generations but still higher than the median U.S. household.
• Gen X (44-59): This group aligns closely with the survey average, aiming for a $5.3 million net worth and $212,321 annual income.
• Millennials (28-43): They push the bar slightly higher with a $5.6 million net worth and $180,865 per year.
• Gen Z (18-27): Dreaming big, this generation says $9.5 million and $587,797 per year are their benchmarks for success.
What stands out is that younger generations are achieving success at levels so extreme that they rival – or surpass – those of the ultra-wealthy. Optimism is great, but these expectations don't align with financial reality.
Trending: <a href="https://www.benzinga.com/money/are-you-rich-2">Are you rich?</a> Here&#8217;s what Americans think you need to be considered wealthy.
Reality Check: Where Americans Actually Stand
Interestingly, the study found that 37% of people consider themselves financially successful right now – even though most of them are nowhere close to the astronomical numbers they claim success requires. This surprising contradiction shows how people's perceptions of success can differ wildly from their actual financial reality.
The Federal Reserve reports that the median U.S. family net worth is $192,900. Let that sink in: half of U.S. families have less than $192,900 in total wealth and half have more. Even the <a href="https://www.benzinga.com/personal-finance/24/10/41585240/if-the-average-american-household-is-a-millionaire-with-a-net-worth-of-1-06-million-why-do-peopl">average net worth</a>, at $1,063,700, is heavily skewed by the richest households.
Want to crack the top 25%? You'd need a net worth of $659,000. This includes everything – your home, investments, savings – minus debt. Achievable? Yes, but it often takes decades of disciplined saving and investing. Now compare that to the $5.3 million Americans think you need, and the gap becomes almost laughable.
Trending: Can you guess how many Americans successfully retire with $1,000,000 saved?<a href="https://www.benzinga.com/money/1milsaved"> The percentage may shock you</a>.
Why Are Americans Setting the Bar So High?
The $5.3 million figure reflects more than ambition – it highlights the growing disconnect between financial goals and reality. Cultural pressures, social media and skyrocketing living costs fuel these lofty ideals. But tying success to numbers that <a href="https://www.benzinga.com/personal-finance/24/12/42659832/does-your-net-worth-make-you-rich-heres-what-it-really-takes-to-be-in-the-top-1">rival the top 1%</a> makes it feel unattainable for most.
And that's the real issue: if success means joining a club that 99% of people will never enter, how do you define fulfillment in your life?
What Actually Matters
The truth is, financial security isn't about hitting an arbitrary number. For most people, success looks like freedom – freedom from debt, handling unexpected expenses and enjoying the things that matter most.
See Also: Many are using retirement income calculators to check if they&#8217;re on pace —<a href="https://www.benzinga.com/money/how-do-i-calculate-my-retirement-income-adv"> here&#8217;s a breakdown on what&#8217;s behind this formula.</a>
<a href="https://www.benzinga.com/money/are-you-rich">Working with a financial advisor</a> can help if your financial goals feel overwhelming. Whether you want to save for retirement, build an emergency fund or just stop stressing about money, success is about progress, not perfection.
So yes, $5.3 million might sound nice, but it's not the only path to a fulfilling life. Success doesn't have to be reserved for the 1%. It's about finding what works for you – and that's something no survey can decide.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/money/62-years-old-with-1-mil-saved">I&#8217;m 62 Years Old And Have $1.2 Million Saved. Is This Enough to Retire Stress-Free?</a>&nbsp;</li>
<li>The average 401(k) balance soars to a record-breaking high – <a href="https://www.benzinga.com/money/average-401k-balances-soars-to-record-high">Here's how to know if your nest egg is keeping pace.</a></li>
</ul>

Personal Finance

Is Your Net Worth Enough To Be Considered 'Successful'? Gen X Thinks You Need $5.3 Million - But Here's The Average Answer

Aides to Elon Musk who have been appointed to oversee the U.S. Office of Personnel Management (OPM), have reportedly restricted access of career civil servants to computer systems containing personal data of millions of federal employees.
What Happened: According to a report by Reuters, Musk&#8217;s team, now managing the U.S. government&#8217;s human resources agency, has limited access for civil servants to systems like the Enterprise Human Resources Integration database.
This database holds sensitive information, including Social Security numbers and pay grades. Two anonymous agency officials have raised concerns about the lack of oversight and potential cybersecurity risks.
The changes are part of Musk&#8217;s efforts to implement Trump&#8217;s directive to reduce the civilian workforce.
The new team at the Office of Personnel Management (OPM), which includes former Musk employees, has taken steps such as installing sofa beds for continuous work and relocating the agency&#8217;s chief management officer.
Despite these significant changes, there has been no comment from Musk, OPM representatives, or the White House.
Why It Matters: The restriction of access to federal employee data systems comes amid a broader context of decisions by the Trump administration.
Recently, Trump blamed DEI policies for a tragic plane crash involving an <a href="https://www.benzinga.com/25/01/43402439/trump-musk-blame-dei-for-plane-crash-authorities-look-at-staffing-congestion-for-answers-search-continues-after-41-bodies-found">American Airlines</a> plane and an Army helicopter, which resulted in 67 fatalities. This incident has sparked debates on staffing and congestion issues.
Furthermore, Musk has been vocal about his support for Trump&#8217;s policies, including the proposed end to the $7,500 EV tax credit, emphasizing that <a href="https://www.benzinga.com/news/earnings/25/01/43372252/elon-musk-brushes-aside-concerns-on-trumps-ev-policies-sustainable-transport-is-inevitable-it-cant-be-stopped">sustainable transport</a> is inevitable.
Trump&#8217;s administration also intends to dismantle the Federal Emergency Management Agency (FEMA), as seen during his visit to disaster-hit areas in California and North Carolina, suggesting states should handle their emergencies.
Read Next:
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<li><a href="https://www.benzinga.com/25/01/43296858/mark-zuckerberg-reportedly-explores-buying-property-in-washington-dc-as-meta-ceo-looks-to-work-closely-with-trump">Mark Zuckerberg Reportedly Buying Property In Washington DC As Meta CEO Looks To Work Closely With Trump</a></li>
</ul>
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock

Politics

Elon Musk's Aides Block Government Workers From Federal Data Systems: Report

EYEN

Trading Halt: Halted at 7:50:00 p.m. ET - Trading Halt: Halt News Pending

Imagine starting with a $70,000 retirement account and watching it grow into hundreds of millions over the years. That's exactly what Ted Weschler did. It wasn't luck or flashy stock picks – it was all about strategy, patience and playing the long game.
ProPublica uncovered Weschler's incredible financial journey in 2021 as part of its "Secret IRS Files" series. They analyzed <a href="https://www.benzinga.com/startups/24/10/41658421/no-one-in-the-u-s-would-have-to-pay-a-dime-in-taxes-warren-buffett-on-berkshire-hathaways-federal-ta">federal tax</a> records and found that his retirement account (IRA) stood out among some of the wealthiest Americans.&nbsp;
While most people use retirement accounts to build modest savings, Weschler turned his into something extraordinary.
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<li><a href="https://www.benzinga.com/money/62-years-old-with-1-mil-saved">I&#8217;m 62 Years Old And Have $1.2 Million Saved. Is This Enough to Retire Stress-Free?</a> </li>
<li>The average American couple has saved this much money for retirement —<a href="http://www.benzinga.com/money/smartasset"> How do you compare</a>?</li>
</ul>
His story begins in 1984, when Weschler was just 22. He was earning $22,000 a year as a junior financial analyst and decided to open a retirement account. Instead of contributing the bare minimum, he made the most of it – maxing out his contributions and taking advantage of his employer's matching program. By 1989, his account had grown to $70,000.
But Weschler didn't stop there. He transferred his savings to a self-directed IRA, which let him pick his investments. In 1990, though, his account hit a major bump, losing 52% of its value during a market downturn.&nbsp;
Most people would have panicked, but Weschler later called it an "unmonetized lesson." He stuck to his strategy, which focused on identifying undervalued companies and holding onto them long term.
Trending: The average 401(k) balance soars to a record-breaking high – <a href="https://www.benzinga.com/money/average-401k-balances-soars-to-record-high">Here's how to know if your nest egg is keeping pace.</a>
That patience paid off. Between 2000 and 2011, his IRA delivered an average annual return of 22% after fees – returns most investors can only dream about.
Then, in 2012, Weschler made a bold move: he converted his traditional IRA into a Roth IRA. It wasn't cheap – he paid $28 million in taxes up-front – but it meant that all future earnings in the account would be tax-free. Financial experts have praised this as a smart long-term play, showing the value of thinking ahead.
Around the same time, Weschler made another bold decision. In 2010 and 2011, he bid a combined $5 million at charity auctions to have lunch with Warren Buffett.&nbsp;
Buffett hired him in 2012 to manage investments at Berkshire Hathaway because those meetings made an impact. Since then, Weschler has been working alongside Buffett to find companies that fit Berkshire's rigorous investment philosophy.
See Also: Can you guess how many Americans successfully retire with $1,000,000 saved?<a href="https://www.benzinga.com/money/1milsaved"> The percentage may shock you</a>.
Weschler's advice for building wealth is simple. Start early, invest consistently and tune out the noise of daily market swings. He also recommends index funds for anyone who wants an easy, reliable way to grow their money.&nbsp;
In an interview with the Washington Post, he pointed out that even if his original IRA had been invested entirely in an S&amp;P 500 index fund, it would have grown to $1.6 million by 2021.
According to Fidelity Investments&#8217; Q3 2024 <a href="https://www.benzinga.com/personal-finance/24/09/40753320/new-report-the-u-s-has-more-401-k-millionaires-than-ever-even-though-people-feel-the-economy-isn">Retirement Analysis</a>, the average IRA balance in the U.S. is $129,200. The report also notes that the number of IRA millionaires has increased by nearly 5% to 418,111, thanks to consistent contributions and strong market performance.
While Weschler's results are far from average, his discipline and long-term thinking principles remain relatable.
Read Next:
<ul>
<li>Many are using retirement income calculators to check if they&#8217;re on pace —<a href="https://www.benzinga.com/money/how-do-i-calculate-my-retirement-income-adv"> here&#8217;s a breakdown on what&#8217;s behind this formula.</a></li>
<li><a href="https://www.benzinga.com/money/suze-orman-retirement-bucket">&#8216;Which Bucket Do I Draw From First?&#8217; Suze Orman Explains To 67-Year-Old The Best Order For Tapping Into Her Retirement Accounts</a></li>
</ul>

Startups

The $5 Million Lunch That Changed It All: How Ted Weschler Met Warren Buffett And Built A $269 Million Retirement Account

T-Mobile US (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TMUS#NASDAQ">TMUS</a>) has outperformed the market over the past 10 years by 10.95% on an annualized basis producing an average annual return of 22.26%. Currently, T-Mobile US has a market capitalization of $263.42 billion. 
Buying $1000 In TMUS: If an investor had bought $1000 of TMUS stock 10 years ago, it would be worth $7,576.26 today based on a price of $230.15 for TMUS at the time of writing.
<h3>T-Mobile US's Performance Over Last 10 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738367108_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

TMUS

Here's How Much You Would Have Made Owning T-Mobile US Stock In The Last 10 Years

Moodys (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MCO#NYSE">MCO</a>) has outperformed the market over the past 15 years by 9.35% on an annualized basis producing an average annual return of 21.63%. Currently, Moodys has a market capitalization of $90.51 billion. 
Buying $100 In MCO: If an investor had bought $100 of MCO stock 15 years ago, it would be worth $1,826.77 today based on a price of $499.44 for MCO at the time of writing.
<h3>Moodys's Performance Over Last 15 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738366209_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

$100 Invested In Moodys 15 Years Ago Would Be Worth This Much Today

Morgan Stanley (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MS#NYSE">MS</a>) has outperformed the market over the past 10 years by 3.45% on an annualized basis producing an average annual return of 14.76%. Currently, Morgan Stanley has a market capitalization of $223.31 billion. 
Buying $100 In MS: If an investor had bought $100 of MS stock 10 years ago, it would be worth $398.13 today based on a price of $138.96 for MS at the time of writing.
<h3>Morgan Stanley's Performance Over Last 10 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738365312_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Here's How Much $100 Invested In Morgan Stanley 10 Years Ago Would Be Worth Today

Howmet Aerospace (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HWM#NYSE">HWM</a>) has outperformed the market over the past 5 years by 27.37% on an annualized basis producing an average annual return of 40.21%. Currently, Howmet Aerospace has a market capitalization of $51.19 billion. 
Buying $100 In HWM: If an investor had bought $100 of HWM stock 5 years ago, it would be worth $549.37 today based on a price of $126.01 for HWM at the time of writing.
<h3>Howmet Aerospace's Performance Over Last 5 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738364409_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

$100 Invested In This Stock 5 Years Ago Would Be Worth This Much Today

Veeva Systems (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VEEV#NYSE">VEEV</a>) has outperformed the market over the past 10 years by 11.42% on an annualized basis producing an average annual return of 22.73%. Currently, Veeva Systems has a market capitalization of $37.87 billion. 
Buying $1000 In VEEV: If an investor had bought $1000 of VEEV stock 10 years ago, it would be worth $7,775.33 today based on a price of $233.26 for VEEV at the time of writing.
<h3>Veeva Systems's Performance Over Last 10 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738363509_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

VEEV

Here's How Much $1000 Invested In Veeva Systems 10 Years Ago Would Be Worth Today

Ares Management (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARES#NYSE">ARES</a>) has outperformed the market over the past 10 years by 15.37% on an annualized basis producing an average annual return of 26.68%. Currently, Ares Management has a market capitalization of $39.86 billion. 
Buying $1000 In ARES: If an investor had bought $1000 of ARES stock 10 years ago, it would be worth $10,493.38 today based on a price of $197.42 for ARES at the time of writing.
<h3>Ares Management's Performance Over Last 10 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738362616_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

ARES

Here's How Much $1000 Invested In Ares Management 10 Years Ago Would Be Worth Today

<h2 class="wp-block-heading">Introduction</h2>
Throughout the last two years, the stock market has experienced above-average total returns — with the Nasdaq-100 delivering investors a 54.8% return in 2023 and a 25.5% return in 2024. Compare this to the 11.8% average annual return the Nasdaq-100 has delivered since its inception in 1985.
As we enter 2025, not only have we experienced the best back-to-back years in the stock market since 1997 &amp; 1998 — we're objectively over-valued, historically speaking. At time of writing, the P/E ratio of the Nasdaq-100 sits at 31.3X — materially higher than the 10-year median of 25.3X. With that being said, I'd argue valuations are not what end secular bull markets. During secular bull markets, valuations can always go higher — just like during secular bear markets valuations can always go lower as fear and greed move markets from one side to the other much like a pendulum.
Under the Trump Administration, I'd argue the Federal Reserve will continue to cut interest rates. When you pair these rate cuts with a healthy economy you get the below chart — history tells us we could experience double-digit gains.
<figure class="wp-block-image size-large is-resized"><img loading="lazy" decoding="async" width="1024" height="713" src="https://contributor-assets.benzinga.com/wp-content/uploads/2025/01/31203447/Screenshot-2025-01-31-143423-1024x713.png" alt="BofA Global Research" class="wp-image-5314" style="width:920px;height:auto" srcset="https://contributor-assets.benzinga.com/wp-content/uploads/2025/01/31203447/Screenshot-2025-01-31-143423-1024x713.png 1024w,https://contributor-assets.benzinga.com/wp-content/uploads/2025/01/31203447/Screenshot-2025-01-31-143423-300x209.png 300w,https://contributor-assets.benzinga.com/wp-content/uploads/2025/01/31203447/Screenshot-2025-01-31-143423-768x534.png 768w,https://contributor-assets.benzinga.com/wp-content/uploads/2025/01/31203447/Screenshot-2025-01-31-143423.png 1184w" sizes="(max-width: 1024px) 100vw, 1024px" /></figure>
With that being said, I'm a firm believer that we're not going to avoid market volatility in 2025 to the degree we did throughout both 2023 and 2024. During both of those years the largest decline the index experienced was -10%, one during July 2023 and another during August 2024. Compare those -10% declines to the average -12-15% annual decline we've historically experienced during bull markets, according to JPMorgan Chase.
Pair this expected heightened volatility with a historically volatile Trump Administration and you have yourself a recipe for some unpredictable returns in the Nasdaq-100 throughout 2025.
Introducing the <a href="https://www.benzinga.com/quote/QQQI">NEOS Nasdaq-100 High Income ETF (QQQI)</a> — how I'm preparing for volatility in 2025 without leaving too much potential upside on the table in case I'm wrong.
<hr class="wp-block-separator has-alpha-channel-opacity" />
<h2 class="wp-block-heading">What is QQQI?</h2>
The <a href="https://www.benzinga.com/quote/qqqi">NEOS Nasdaq-100 High Income ETF (QQQI)</a> is a covered call ETF that seeks to distribute high monthly income to their investors. They generate this high monthly income by investing into all of the underlying constituents of the Nasdaq-100 and implementing a data-driven call option strategy.
A few things set this fund apart from their peers like JEPQ and QYLD.
Unlike JEPQ, the NEOS Nasdaq-100 High Income ETF (QQQI) holds all 100 constituents of the <a href="https://www.benzinga.com/quote/qqq">Nasdaq-100 index</a>. There's no "cherry picking" of names their fund managers think might be under-valued. Instead, QQQI investors know exactly what they're signing up for.
Additionally, QQQI's data-driven call option strategy utilizes Nasdaq-100 Index Options which is important for two reasons:
<ol>
<li>Index options are classified as <a href="https://www.investopedia.com/terms/s/section-1256-contract.asp#:~:text=A%20Section%201256%20contract%20specifies,term%20capital%20gains%20or%20losses.">Section 1256 contracts</a> by the IRS. This means no matter the holding period, all income generated from these contracts are taxed at 60% long-term capital gains and 40% short-term capital gains. </li>
<li>Additionally, the fund portfolio managers aim to harvest losses within the portfolio to either offset gains in the option contracts or equity positions &#8211; which can allow fund distributions to be classified as a &#8220;Return of Capital.&#8221;
<ul>
<li><a href="https://www.investopedia.com/terms/r/returnofcapital.asp">Return of Capital</a> distributions are not taxable in the year they&#8217;re received, instead investors would pay long-term capital gains on their distributions if / when they ever decide to sell their shares. This is especially important for investors looking to lower their annual tax burden as you&#8217;re essentially converting short-term income distribution payments into long-term capital gains treatment in the event of a future sale of the ETF.</li>
</ul>
</li>
</ol>
Compare all of this to <a href="https://www.benzinga.com/quote/JEPQ">JEPQ's</a> equity-linked notes (ELNs) — a terrible income-generation strategy that forces investors to pay ordinary income tax on their distributions.
Unlike <a href="https://www.benzinga.com/quote/qyld">QYLD</a>, the NEOS Nasdaq-100 High Income ETF (QQQI) doesn't sell call options against the entire value of the fund's portfolio — <a href="https://youtu.be/8xykeGA5eJU?si=D_QUAollXVy_diPR">but instead against only 75-90%</a>. This means the other 10-25% of the portfolio can move freely up and down with the markets and is not "capped" by the strike price of the call option. As a result, gains are not limited to only the premiums received from the sold calls — which is the unfortunate reality for QYLD investors.
The result is the price of QQQI moves much more freely alongside QQQ when compared to QYLD.
For example, during the weeks throughout April 22 and July 18, 2024 shares of QQQ appreciated by +18.5%. During the same period of time, shares of QYLD appreciated only 4.4%, whereas shares of QQQI appreciated +9.8%. That +5.4% outperformance from QQQI was catalyzed by their fund managers strategically writing call options against only a portion of their fund's notional value instead of the entirety of its value like QYLD.
Not to mention, that +9.8% appreciation in share price doesn&#8217;t include the $2.44 per share of income paid to QQQI investors during that three month stretch (~5.0% yield). 
<hr class="wp-block-separator has-alpha-channel-opacity" />
<h2 class="wp-block-heading">How Has QQQI Performed During This Bull Market? </h2>
QQQI was introduced to investors on January 30th, 2024. Shares of the fund began trading at $50 per share. Now that we officially have an entire year of performance to review, let's see how QQQI did.
The 1-year <a href="https://www.morningstar.com/etfs/xnas/qqqi/performance">total return of QQQI was 22.7%</a>.
Throughout those 12-months, QQQI paid their investors $7.33 per share in total distributions. Assuming you purchase one share of QQQI for $50 on January 30th, 2024 — that's a 14.7% annual distribution yield.
Throughout the last 12-months, the share price of QQQI appreciated by +8.3% — when combined with their annual distribution yield brings us to having captured 95.8% of the <a href="https://www.morningstar.com/etfs/xnas/qqq/performance">Nasdaq-100's total return</a> during the same period of time.
I'd argue QQQI has performed quite well during this bull market, capturing nearly 96% of their benchmark index's total returns. Remember, the objective of this fund is not to out-perform its underlying benchmark index, but instead generate high tax-efficient monthly income for their investors.
And at a 14.7% annual distribution yield, I'd argue they accomplished that objective during their first year of trading.
<hr class="wp-block-separator has-alpha-channel-opacity" />
<h2 class="wp-block-heading">How Will QQQI Perform During Volatility? </h2>
Now let's answer the million dollar question — how will QQQI and other covered call ETFs perform during times of volatility?
Well, let's first define what is going to cause the volatility.
For JEPQ, their fund managers have the autonomy to buy and sell specific names inside of their ETF to potentially offset market volatility. With that being said, JEPQ began trading on the open markets May 4, 2022 at $50.10 per share. On October 13, 2022 shares of JEPQ fell as low as $39.61 — a dramatic -20.8% decline in share price. With that being said, throughout that period of time they paid their investors $2.06 per share in cumulative distributions — a 4.1% yield against their open price of $50.10 in May.
From May 4, 2022 to October 13, 2022 JEPQ investors were looking at a -20.8% decline in price per share, which was more than QQQ's -20.3% decline in price per share during the same period of time.
Historically speaking, JEPQ's proprietary stock picking strategy does not offset price volatility during bear markets. The only way JEPQ was able to offset volatility was by generating monthly income for their investors.
Considering QYLD's fund managers do not implement a proprietary stock picking strategy and instead just hold the constituents of the underlying index, theoretically speaking the only way QYLD could outperform QQQ during a bear market is by paying their investors a monthly yield as the two funds' holdings are exactly the same.
Assuming this is true, then QQQI theoretically should also experience the same price decline as QQQ during a bear market — with the only outperformance coming from their monthly income. And considering QQQI pays their investors a 14.7% annual distribution yield (<a href="https://x.com/NEOSInvestments/status/1882760470291214803">link</a>) compared to QYLD's 12.7% (<a href="https://www.globalxetfs.com/funds/qyld/">link</a>), that's a 2% difference in the positive direction for QQQI.
Now when you pair that 2% theoretical difference with the outperformance QQQI has already demonstrated during rising markets (5.4% throughout April-July 2024), QQQI has the opportunity to 1) materially outperform its competitors while 2) offsetting a potential decline in price with its tax-efficient high monthly income if we experience volatility in 2025.
<hr class="wp-block-separator has-alpha-channel-opacity" />
<h2 class="wp-block-heading">Summary</h2>
I cannot predict what the Nasdaq-100 will do in 2025. There is clear evidence of the index being historically overvalued, but I'm also a firm believer in the ideology that valuations can always be driven higher by greed. Considering the lack of volatility the index experienced in 2023 and 2024, I have reason to believe we'll experience multiple double-digit pullbacks in the Nasdaq-100 throughout the year.
Assuming that is true, I believe holding shares of QQQI in my portfolio will be the best way to play this looming volatility as the income generated by the shares will offset any price declines experienced by the Nasdaq-100 while their data-driven covered call strategy on only a portion of the fund's notional value will allow for price appreciation in rising markets as well.
Offsetting share price decline with tax-efficient monthly income while participating in rising markets is a recipe for success in 2025.
<hr class="wp-block-separator has-alpha-channel-opacity" />
Disclaimer: This is not financial advice or recommendation for any investment. The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. I/we have a beneficial long position in the shares of BTCI, SPYI, QQQI, and IWMI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article. Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor

Market Summary

QQQI: How I'm Preparing for Volatility in 2025

Fortinet (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FTNT#NASDAQ">FTNT</a>) has outperformed the market over the past 15 years by 19.59% on an annualized basis producing an average annual return of 31.87%. Currently, Fortinet has a market capitalization of $77.18 billion. 
Buying $100 In FTNT: If an investor had bought $100 of FTNT stock 15 years ago, it would be worth $6,429.57 today based on a price of $100.70 for FTNT at the time of writing.
<h3>Fortinet's Performance Over Last 15 Years</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738361716_0.png" alt="comp_fig" />
Finally -- what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

FTNT

$100 Invested In Fortinet 15 Years Ago Would Be Worth This Much Today

Intel Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/INTC#NASDAQ">INTC</a>) on Thursday reported better-than-expected fourth-quarter results but lowered its forward guidance for the next quarter. Analysts <a href="https://www.benzinga.com/news/earnings/25/01/43354712/intel-stock-climbs-on-better-than-expected-q4-report-details">weighed in on the report.&nbsp;</a>
Expert Ideas: Cantor Fitzgerald analyst C.J. Muse highlighted Intel's better-than-feared fourth quarter driven by the Intel Products side with Foundry results coming in as expected.&nbsp;
The analyst also noted Intel lowered its capital expenditures guidance which he said was the "right step" in order for the company to return to positive free cash flow in 2025. Muse maintained a Neutral rating and $22 price target on Intel stock.&nbsp;
Read Next: <a href="https://www.benzinga.com/news/earnings/25/01/43400701/ups-ceo-says-amazon-is-our-largest-but-not-our-most-profitable-customer">UPS CEO Says Amazon Is &#8216;Our Largest,&#8217; But &#8216;Not Our Most Profitable Customer&#8217;&nbsp;</a>
Oppenheimer analysts noted all product segments guided down by approximately 14% for the first quarter and that Intel continues to lose market share to Advanced Micro Devices, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMD#NASDAQ">AMD</a>) in both its Client Computing Group and Data Center segments. 
Oppenheimer said it "remains on the sidelines as turnaround efforts take root" and maintained a Perform rating on Intel shares.&nbsp;
Stifel analysts also pointed to the company's reduced guidance and slow recovery and remain on the sidelines "until execution starts yielding results." Stifel maintained its Hold rating on Intel but lowered its price target from $25 to $21.&nbsp;
Several other analysts <a href="https://www.benzinga.com/quote/INTC/analyst-ratings">updated coverage</a> on Intel following the fourth-quarter print:&nbsp;
<ul>
<li>JPMorgan analyst Harlan Sur maintained Intel with an Underweight and lowered the price target from $26 to $23.</li>
<li>Wells Fargo analyst Aaron Rakers maintained an Equal-Weight rating but lowered the price target on Intel from $28 to $25.</li>
<li>Benchmark analyst Cody Acree reiterated Intel with a Hold rating.&nbsp;</li>
<li>Needham analyst Quinn Bolton reiterated a Hold rating.&nbsp;</li>
</ul>
Read Next:&nbsp;
<ul>
<li><a href="https://www.benzinga.com/news/earnings/25/01/43320124/microsoft-shares-slide-after-q2-results-cloud-revenue-misses-expectations-details">Microsoft Shares Slide After Q2 Results, Cloud Revenue Misses Expectations: Details</a>&nbsp;</li>
</ul>
Photo: Shutterstock

Analyst Color

Earnings

Reiteration

Analyst Ratings

Movers

INTC

Intel Attempts Turnaround, Analysts 'Remain On The Sidelines'

8 analysts have expressed a variety of opinions on Angi (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ANGI#NASDAQ">ANGI</a>) over the past quarter, offering a diverse set of opinions from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th align="right">Bullish</th>
<th align="right">Somewhat Bullish</th>
<th align="right">Indifferent</th>
<th align="right">Somewhat Bearish</th>
<th align="right">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td align="right">1</td>
<td align="right">3</td>
<td align="right">4</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td align="right">1</td>
<td align="right">2</td>
<td align="right">2</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
</tbody>
</table>
The 12-month price targets, analyzed by analysts, offer insights with an average target of $2.77, a high estimate of $6.00, and a low estimate of $1.70. This current average represents a 16.31% decrease from the previous average price target of $3.31. 
<img src="https://www.benzinga.com/files/images/story/2025/1738360869_0.png" alt="price target chart" />
<h2>Decoding Analyst Ratings: A Detailed Look</h2>
An in-depth analysis of recent analyst actions unveils how financial experts perceive Angi. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Ygal Arounian</td>
<td>Citigroup</td>
<td>Raises</td>
<td>Neutral</td>
<td>$2.00</td>
<td>$1.70</td>
</tr>
<tr>
<td>Ygal Arounian</td>
<td>Citigroup</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$1.70</td>
<td>$2.00</td>
</tr>
<tr>
<td>Nicholas Jones</td>
<td>JMP Securities</td>
<td>Maintains</td>
<td>Market Outperform</td>
<td>$3.00</td>
<td>$3.00</td>
</tr>
<tr>
<td>Justin Patterson</td>
<td>Keybanc</td>
<td>Lowers</td>
<td>Overweight</td>
<td>$2.00</td>
<td>$3.00</td>
</tr>
<tr>
<td>Eric Sheridan</td>
<td>Goldman Sachs</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$2.50</td>
<td>$3.25</td>
</tr>
<tr>
<td>Daniel Kurnos</td>
<td>Benchmark</td>
<td>Lowers</td>
<td>Buy</td>
<td>$6.00</td>
<td>$7.00</td>
</tr>
<tr>
<td>Nicholas Jones</td>
<td>JMP Securities</td>
<td>Lowers</td>
<td>Market Outperform</td>
<td>$3.00</td>
<td>$3.25</td>
</tr>
<tr>
<td>Ygal Arounian</td>
<td>Citigroup</td>
<td>Lowers</td>
<td>Neutral</td>
<td>$2.00</td>
<td>$3.25</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Angi. This information provides a snapshot of how analysts perceive the current state of the company.</li>
<li>Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Angi compared to the broader market.</li>
<li>Price Targets: Analysts predict movements in price targets, offering estimates for Angi's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.</li>
</ul>
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Angi's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
<a href="https://www.benzinga.com/quote/ANGI/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Angi analyst ratings.</a>
If you are interested in following small-cap stock news and performance <a href="https://www.benzinga.com/news/small-cap">you can start by tracking it here</a>.
<h2>Discovering Angi: A Closer Look</h2>
Angi Inc connects quality home service professionals across different categories, from repairing and remodeling to cleaning and landscaping, with consumers. The Company has three operating segments namely, Ads and Leads that generate maximum revenue, Services, and International (Europe and Canada). The company operates under multiple brands that including Angi, HomeAdvisor, and Handy. The majority of the revenue is earned from the United States.
<h3>Angi: Financial Performance Dissected</h3>
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Angi's revenue growth over a period of 3 months has faced challenges. As of 30 September, 2024, the company experienced a revenue decline of approximately -15.52%. This indicates a decrease in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Communication Services sector.
Net Margin: Angi's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 11.85% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Angi's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 3.33%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): Angi's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.9%, the company showcases efficient use of assets and strong financial health.
Debt Management: Angi's debt-to-equity ratio is below the industry average. With a ratio of 0.46, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
<h2>How Are Analyst Ratings Determined?</h2>
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
Breaking: Wall Street's Next Big Mover
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This article was generated by Benzinga's automated content engine and reviewed by an editor.

ANGI

The Analyst Verdict: Angi In The Eyes Of 8 Experts

Providing a diverse range of perspectives from bullish to bearish, 10 analysts have published ratings on Carvana (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CVNA#NYSE">CVNA</a>) in the last three months.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th align="right">Bullish</th>
<th align="right">Somewhat Bullish</th>
<th align="right">Indifferent</th>
<th align="right">Somewhat Bearish</th>
<th align="right">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td align="right">3</td>
<td align="right">5</td>
<td align="right">2</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td align="right">2</td>
<td align="right">3</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td align="right">1</td>
<td align="right">1</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
</tbody>
</table>
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $296.7, with a high estimate of $350.00 and a low estimate of $245.00. This upward trend is evident, with the current average reflecting a 11.33% increase from the previous average price target of $266.50.
<img src="https://www.benzinga.com/files/images/story/2025/1738360858_0.png" alt="price target chart" />
<h2>Deciphering Analyst Ratings: An In-Depth Analysis</h2>
In examining recent analyst actions, we gain insights into how financial experts perceive Carvana. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Rajat Gupta</td>
<td>JP Morgan</td>
<td>Raises</td>
<td>Overweight</td>
<td>$350.00</td>
<td>$300.00</td>
</tr>
<tr>
<td>Ronald Josey</td>
<td>Citigroup</td>
<td>Raises</td>
<td>Buy</td>
<td>$277.00</td>
<td>$195.00</td>
</tr>
<tr>
<td>Brad Erickson</td>
<td>RBC Capital</td>
<td>Raises</td>
<td>Outperform</td>
<td>$280.00</td>
<td>$270.00</td>
</tr>
<tr>
<td>Chris Pierce</td>
<td>Needham</td>
<td>Maintains</td>
<td>Buy</td>
<td>$330.00</td>
<td>$330.00</td>
</tr>
<tr>
<td>David Lantz</td>
<td>Wells Fargo</td>
<td>Lowers</td>
<td>Overweight</td>
<td>$275.00</td>
<td>$300.00</td>
</tr>
<tr>
<td>Jeff Lick</td>
<td>Stephens &amp; Co.</td>
<td>Maintains</td>
<td>Overweight</td>
<td>$300.00</td>
<td>$300.00</td>
</tr>
<tr>
<td>Nicholas Jones</td>
<td>JMP Securities</td>
<td>Maintains</td>
<td>Market Outperform</td>
<td>$320.00</td>
<td>$320.00</td>
</tr>
<tr>
<td>Chris Pierce</td>
<td>Needham</td>
<td>Raises</td>
<td>Buy</td>
<td>$330.00</td>
<td>$300.00</td>
</tr>
<tr>
<td>Michael Montani</td>
<td>Evercore ISI Group</td>
<td>Raises</td>
<td>In-Line</td>
<td>$245.00</td>
<td>$240.00</td>
</tr>
<tr>
<td>Adam Jonas</td>
<td>Morgan Stanley</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$260.00</td>
<td>$110.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Carvana. This offers insight into analysts' perspectives on the current state of the company.</li>
<li>Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Carvana compared to the broader market.</li>
<li>Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Carvana's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.</li>
</ul>
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Carvana's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
<a href="https://www.benzinga.com/quote/CVNA/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Carvana analyst ratings.</a>
<h2>Get to Know Carvana Better</h2>
Carvana Co is an e-commerce platform for buying and selling used cars. The company derives revenue from used vehicle sales, wholesale vehicle sales and other sales and revenues. The other sales and revenues include sales of loans originated and sold in securitization transactions or to financing partners, commissions received on VSCs and sales of GAP waiver coverage. The foundation of the business is retail vehicle unit sales. This drives the majority of the revenue and allows the company to capture additional revenue streams associated with financing, VSCs, auto insurance and GAP waiver coverage, as well as trade-in vehicles.
<h3>Unraveling the Financial Story of Carvana</h3>
Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.
Revenue Growth: Carvana displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 31.81%. This indicates a notable increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 2.33%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): Carvana's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 14.95% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.17%, the company showcases effective utilization of assets.
Debt Management: Carvana's debt-to-equity ratio stands notably higher than the industry average, reaching 10.06. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
<h2>How Are Analyst Ratings Determined?</h2>
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-checkout/?t=be8be9arja3be22bz21&amp;utm_source=benzinga-insights">Click here to stay ahead of the market</a>.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

CVNA

Assessing Carvana: Insights From 10 Financial Analysts

Press Releases

NEOS Investments Announces May ETF Suite Distributions

NEOS Investments Announces June ETF Suite Distributions

NEOS Investments Announces July ETF Suite Distributions

NEOS Investments Announces August ETF Suite Distributions

NEOS Investments Announces September ETF Suite Distributions

NEOS Investments Announces October ETF Suite Distributions

NEOS Investments Announces November ETF Suite Distributions

NEOS Investments Announces Strategic Investment from Aretex Capital and Tom Lydon

NEOS Investments Announces December ETF Suite Distributions

NEOS Investments Announces January 2025 ETF Suite Distributions

BNDI

CSHI

HYBI

NUSI

A few months ago, I analyzed the total performance of the three most popular S&amp;P 500 covered call ETFs in 2023: the JPMorgan Equity Premium Income ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JEPI#NYSE">JEPI</a>), the GlobalX S&amp;P500 Covered Call ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XYLD#NYSE">XYLD</a>), and the NEOS S&amp;P 500 High Income ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/SPYI#BATS">SPYI</a>).&nbsp;

The covered call ETF that came out on top was the NEOS S&amp;P 500 High Income ETF&nbsp;for three reasons: they had full exposure to the holdings inside of the S&amp;P 500, wrote out-of-the-money covered calls, and used Section 1256 contracts for enhanced tax-efficiency.&nbsp;

The total performance of <a href="https://www.benzinga.com/quote/SPYI">SPYI</a>&nbsp;in 2023 was<a href="https://www.morningstar.com/etfs/bats/spyi/performance" style="text-decoration-line:none"> 18.1%</a>, capturing nearly 69% of the S&amp;P 500 Index&#39;s total return last year. Compared to the JPMorgan Equity Premium Income ETF&#39;s<a href="https://www.morningstar.com/etfs/arcx/jepi/performance" style="text-decoration-line:none"> total return of 9.8%</a>, and the GlobalX S&amp;P 500 Covered Call ETF&#39;s<a href="https://www.morningstar.com/etfs/arcx/xyld/performance" style="text-decoration-line:none"> total return of 11.0%</a>.

I share these figures because the team that built SPYI &mdash; and all of the category leading performance that came with it &mdash; has used the same techniques and strategy to build the NEOS Nasdaq-100 High Income ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQI#NASDAQ">QQQI</a>).

<h3>What Is QQQI?</h3>

The NEOS Nasdaq-100 High Income ETF&nbsp;is an ETF that aims to offer high monthly income in a tax-efficient manner and upside potential when the Nasdaq-100 Index (<a href="https://www.benzinga.com/quote/QQQ">QQQ</a>) rises.&nbsp;

Let&rsquo;s break that down simply &mdash; as we all know, an ETF is a basket of stocks.

In this case, the basket is constructed to replicate the holdings of the Nasdaq-100 Index. Remember, the Nasdaq-100 Index sits right next to the S&amp;P 500 Index in popularity and portfolio construction. This index tracks the total performance of the 100 largest, most-actively traded stocks listed on the Nasdaq. Think Apple (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>), Microsoft (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>), Nvidia (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), Broadcom (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVGO#NASDAQ">AVGO</a>), Meta Platforms (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>), Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>)&hellip; you get the picture.

The Nasdaq-100 Index<a href="https://www.morningstar.com/etfs/xnas/qqq/performance" style="text-decoration-line:none"> delivered +54.9% returns</a> for its investors in 2023, the best year since 1999. Again, this was largely due to the AI craze we saw by companies like Microsoft, Nvidia, and others &mdash; but incredibly impressive nonetheless.

So, what&#39;s the difference between QQQ&nbsp;and QQQI?

A single letter, I.

And that letter stands for income.&nbsp;

Think about it like this &mdash; a 55% return in an investment is awesome. However, to realize that return in your bank account, you&rsquo;ll need to sell shares of stock. Considering the trailing twelve month dividend yield of the Nasdaq-100 Index is 0.52%, 99.48% of that return was in the form of share price appreciation &mdash; not cash dividends paid to you.

But what if there was an ETF that aimed to offer exposure to the Nasdaq-100 Index while also optimizing for tax-efficient income for their shareholders?

<h4>Enter QQQI.&nbsp;</h4>

The NEOS team has successfully done this with their S&amp;P 500 Index equivalent ETF, SPYI &mdash; paying a 12.14% annual distribution yield (as of 3/15/24) to investors while also allowing their share price to trend higher over time. Again, SPYI delivered a total return of 18.1% in 2023 &mdash; with 12% of that being paid out as monthly income to their shareholders.

I&rsquo;m a shareholder in and receive monthly income from SPYI.&nbsp;

Now the team is introducing QQQI &mdash; a way for income-focused investors to have exposure to the Nasdaq-100, in a tax-efficient manner.

How Does QQQI Work?

Let&rsquo;s start by understanding how the normal QQQ ETF works &mdash; by investing into the same stocks that represent the Nasdaq-100 Index, the QQQ ETF experiences the same return as the Nasdaq-100 Index.

Simple enough, right? Have the same stuff, experience the same returns. I mean, this is precisely how every index-focused ETF works.&nbsp;

So, what does QQQI do?&nbsp;

They hold the exact same stocks in the exact same weightings as the Nasdaq-100 Index, as shown below. Therefore it should perform similarly to the Nasdaq-100 Index, but why not exactly the same...?

<div>
Covered call option contracts.

Let&rsquo;s break what that means &mdash; NEOS says &ldquo;We&rsquo;re going to sell Nasdaq-100 covered calls against our holdings. We&rsquo;re going to choose a date that&rsquo;s about 1-month into the future, and a strike price up to 5% out-of-the-money.&rdquo;

In return, they receive premium income from the buyer of those option contracts. They take that premium income and pay it out in the form of a monthly distribution to their shareholders.

Now that you understand the high-level strategy &mdash; let&rsquo;s walk through the specific intricacies that set them apart from other Nasdaq-100 income-focused ETFs on the market today.&nbsp;

<div>
<h3>Section 1256 Contracts:</h3>

These are the type of &ldquo;<a href="https://www.investopedia.com/terms/s/section-1256-contract.asp#:~:text=The%20purpose%20of%20Section%201256,the%20contract%20should%20be%20calculated." style="text-decoration-line:none">option contracts</a>&rdquo; they chose to use when selling their covered calls. Long-story short, the income produced when using these contracts is taxed at 60% long-term capital gains, and 40% short-term capital gains.

Compare this to the 100% short-term capital gains investors have to pay on their income when selling &ldquo;normal&rdquo; covered calls. Over the long-haul, we&rsquo;re talking about a material savings on taxes when Uncle Sam comes knocking.

<div>
<h4>Out-of-the-Money:</h4>

By selling their option contracts &ldquo;<a href="https://www.investopedia.com/terms/o/outofthemoney.asp#:~:text=Out%20of%20the%20money%20is,above%20the%20put's%20strike%20price." style="text-decoration-line:none">OTM</a>,&rdquo; they&rsquo;re ensuring their investors can participate in upside share price appreciation.

Here&rsquo;s what I mean &mdash; when you sell an<a href="https://www.investopedia.com/terms/a/atthemoney.asp" style="text-decoration-line:none"> at-the-money</a> covered call, you&rsquo;re guaranteeing your return upfront. If the price of the underlying equity trades higher than the total amount of premium you&rsquo;ve received, too bad.

Because the NEOS team is selling covered call option contracts up to 5% OTM, investors are able to participate in some upside share price appreciation.

Sure, if the Nasdaq-100 increases by +10% in a single month &mdash; QQQI investors won&rsquo;t realize that entire 10% return because they&rsquo;re only writing contracts to include up to +5% in share price appreciation. But that&rsquo;s the &ldquo;trade-off&rdquo; you make when you&rsquo;re trying to optimize for tax-efficient income vs. share price appreciation.

This is very different from the GlobalX Nasdaq 100 Covered Call ETF, (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QYLD#NASDAQ">QYLD</a>). Their option contract strategy sells &quot;<a href="https://www.investopedia.com/terms/a/atthemoney.asp" style="text-decoration-line:none">at-the-money</a>&quot; covered calls, capping the upside to the total premium generated by selling the contract. There is not upside share price appreciation participation with &quot;ATM&quot; covered calls.&nbsp;

<div>Early Innings

Considering this ETF just launched late-January, we&#39;re still in the early innings of tracking its performance relative to the GlobalX Nasdaq 100 Covered Call ETF. With that being said, QQQI announced their first monthly distribution a few weeks ago at $0.5939 per share.

At time of writing (3/15/24), this comes out to be a<a href="https://neosfunds.com/qqqi/#distributions" style="text-decoration-line:none"> 14.42% annual distribution yield</a>, a whopping +2.8% higher than QYLD&#39;s<a href="https://www.globalxetfs.com/funds/qyld/" style="text-decoration-line:none"> 11.62% distribution yield</a>.&nbsp;

Will this higher distribution yield sustain? It&#39;s anyone&#39;s guess.

However, SPYI paid investors $5.80 per share in 2023, a 12.0% yield against their $48.20 closing price on December 29, 2023 - coming in at +1.5% higher than XYLD&#39;s 12-month yield using the same time frames. And because they wrote &quot;out-of-the-money&quot; covered calls, the price of SPYI appreciated by +2.1% (<a href="https://finance.yahoo.com/quote/SPYI/history?period1=1661817600&amp;period2=1709856000&amp;interval=1d&amp;filter=history&amp;frequency=1d&amp;includeAdjustedClose=true" style="text-decoration-line:none">from $46.26 to $47.24</a>) during 2023 compared to XYLD&#39;s -1.7% (<a href="https://finance.yahoo.com/quote/XYLD/history?period1=1552003200&amp;period2=1709856000&amp;interval=1d&amp;filter=history&amp;frequency=1d&amp;includeAdjustedClose=true" style="text-decoration-line:none">from $39.56 to $38.84</a>).

If history repeats itself, QQQI&#39;s out-of-the-money covered call option contract strategy might outperform QYLD&#39;s at-the-money covered call option strategy from a total return perspective in 2024. However, we&#39;ll have to wait and see.

<div>Downside Risks</div>
</div>
</div>
</div>

<div>
As with any covered call ETF, the downside risk is obvious - underperformance in relation to the index the ETF is tracking. However, we haven&rsquo;t yet seen this take place with QQQI in 2024.&nbsp;

Since inception on January 30th, QQQI&#39;s total return has been 1.9% (as of 3/15/24). During the same period of time, QQQ&#39;s total return has been 1.6% (as of 3/15/24). The reason for the slight outperformance has to do with the premium collected when selling their out-of-the-money covered calls.&nbsp;

Simply put, QQQ has been trading sideways since mid-February &mdash; resulting in a zero total return to investors over the last month or so. Considering QQQI aims to offer exposure to the same index, it makes sense that QQQI&rsquo;s stock price has also traded sideways during the same period of time. However, because QQQI seeks to distribute high monthly income for their investors and subsequently paid a $0.5939 per share distribution on February 23rd &mdash; in stagnant markets QQQI comes out on top.&nbsp;

QYLD&#39;s total return during the same time period has only been 1.4% (as of 3/15/24) &mdash; 50 bps lower than QQQI&#39;s &mdash; given their at-the-money covered call option contract strategy.&nbsp;

Time will tell just how much QQQI might underperform or outperform QQQ in 2024. Again, in 2023 SPYI only captured ~69% of the S&amp;P 500 Index&#39;s total return. With that being said, I&#39;m not going to begin to speculate where QQQI might land in relation to QQQ&#39;s total performance for 2024.&nbsp;
Conclusion</div>

<div>
The same team that built the category leading S&amp;P 500 covered call ETF, SPYI, has introduced a new covered call ETF, QQQI. This covered call ETF uses Section 1256 contracts to ensure tax-efficiency, writes out-of-the-money covered call option contracts, and is already beginning to show strong results early on.&nbsp;

As with all investments, it&#39;s important to spend time observing performance in relation to their fund&#39;s investment objective as outlined in their<a href="https://neosfunds.com/wp-content/uploads/qqqi_sumpro.pdf" style="text-decoration-line:none"> prospectus</a>. When comparing very early results to &quot;the next best thing,&quot; performance looks promising. With that being said, I look forward to revisiting QQQI&#39;s performance in 6-9 months once we&#39;ve seen more distributions paid to investors.&nbsp;

As a fellow income-focused investor, I&#39;m always weighing my options in efforts to determine the best possible way to invest my money. At time of writing, I&#39;m eager to expand my small-but-growing position in QQQI. If you&#39;re interested in doing your own research on&nbsp;QQQI, I found this <a href="https://youtu.be/y3WTECl7do0?si=QifGxukAAsqL7Doj">interview on&nbsp;YouTube</a> to be helpful.&nbsp;
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QQQI: The Undiscovered Nasdaq-100 Covered Call ETF You've Been Looking For (14.4% Distribution Yield)

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NEOS Nasdaq 100 High Income ETF

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Latest news for NEOS Nasdaq 100 High Income ETF (NASDAQ:QQQI)

Friday, March 15, 2024

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