YieldMax HOOD Option Income Strategy ETF

Frequently Asked Questions About HOOY

What does HOOY invest in?

The YieldMax HOOD Option Income Strategy ETF (HOOY) is an actively managed fund designed to provide consistent weekly income. It achieves this by executing a strategy of selling either call options or call spreads linked to shares of HOOD. This method allows the fund to collect premiums from these option contracts while also enabling investors to benefit from any appreciation in HOOD's stock price.

What is the expense ratio of HOOY?

YieldMax HOOD Option Income Strategy ETF (HOOY) charges an expense ratio of 0.99%. This is the annual fee deducted from fund assets to cover management and operations.

What is HOOY's distribution yield?

HOOY's trailing-twelve-month yield is 119.51%, calculated from the sum of distributions over the past year divided by the current price. A rate this high reflects large option-premium distributions against a NAV that has declined over the same period. Part of each payout may be return of capital rather than earned income.

How does HOOY's covered-call strategy work?

HOOY sells call options against the stocks (or index) it holds, collecting premium income that gets passed through to shareholders as distributions. The strategy generates above-market income in flat or rising markets but caps upside. When the underlying rallies past the strike, the gains above the strike go to the option buyer, not the fund.

How big is HOOY?

YieldMax HOOD Option Income Strategy ETF (HOOY) manages $120.4M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure. Funds below ~$50M are at higher risk of liquidation.

Is HOOY actively managed or an index fund?

HOOY's management style is described in the fund's prospectus. See the description on the Summary tab for the published strategy.