Investment
Features
FeesSafety
Academy
More
Pluang+

SPYI ETF's high 12% yield mostly returns your own money, not income.

Market News
24 Aug 2026
24/7 Wall Street
View Source
Bearish
SPYI ETF's high 12% yield mostly returns your own money, not income.

The NEOS S&P 500 High Income ETF (SPYI) offers a headline yield near 12%, but about 95% of its payouts this year are return of capital, meaning investors are getting back their own principal rather than income. SPYI charges a high 0.68% fee compared to cheaper S&P 500 ETFs like VOO, which impacts long-term returns. Its covered-call strategy limits upside gains, and return of capital distributions lower your cost basis instead of being taxed as income immediately. Investors should check their statements to understand how much of their payout is actual income versus return of capital before deciding if SPYI fits their investment goals.

More News (SPYI)

banner-footerbanner-footer

Invest & Trade with
#1 Award-Winning Investment Super App