YieldMax Ultra Option Income Strategy ETF

Eye-popping headline yields are the draw with ULTY, and the mechanics behind them matter. The actively managed fund writes call options and call spreads on a rotating book of 15 to 30 stocks, many of them high-volatility technology names whose rich option premiums fund the payouts. Managed under the YieldMax banner by Tidal, it distributes income weekly and has advertised annualized rates well above 50%. The catch is what those distributions are made of: selling calls caps upside, so in a strong rally the fund keeps the premium but forfeits the gains, and a large share of the payout has come back as return of capital rather than true income. That steadily chips away at the share price. It suits investors chasing cash flow with eyes open to NAV erosion, not long-term growth. It launched in 2024.

On MyRWA, ULTY trades tokenized across 1 on-chain venue - see the listings below.