Buffett left unusually precise instructions for investing his wife's inheritance after his death, and those instructions have a surprising weakness that income investors keep running into.
It's often said “cash is king” and that royalty may be further cemented over the near term following a recent interest hike by the Fed and one more likely before the end of this year. Said another way, roughly $8 trillion sitting in money market accounts may not be going anywhere for a while.
Amplify Cash Flow ETF offers a competitive distribution yield with a 47-day duration, blending weekly-laddered T-bills and S&P 500 put spreads. CSHI, in my opinion, could benefit from a near-zero duration as hawkish Fed expectations support stable or rising T-bill yields, enhancing its cash alternative appeal. The fund's distribution rate exceeds T-bill yields, sourced from option premiums, but carries measurable tail risk if equities decline sharply.
Three NEOS ETFs are quietly using two obscure tax code provisions to let investors keep far more of their monthly income than typical high-yield funds allow, and the structure behind it is stranger than it sounds.
On Monday, August 17, 30-year Treasury yields hit 5.31%, the highest level in 19 years for long-dated U.S. government bonds. That move has plenty of traders and fixed income investors on edge, because 19 years ago was shortly before the start of the global financial crisis.
Three exchange-traded funds from NEOS have carved out a niche appealing to income seekers frustrated with how much of their yield ends up on a 1099-DIV as ordinary income.
NEOS Enhanced Income 1-3 Month T-Bill ETF combines T-bills with S&P 500 put spreads, delivering consistent excess returns over its benchmark. I rate CSHI a Buy, targeting a 2.1%–2.5% total return over six months, supported by a stable payout and favorable macro conditions. CSHI's option overlay has added value after expenses, while NAV remains near $50 and the monthly distribution has stabilized around $0.1945.
Contact [email protected] for any questions or corrections.
Recent data indicate approximately $8 trillion sits in money market accounts and funds. That sum staggers, when considering how well equities have performed this year.
On this episode of the “ETF of the Week” podcast, VettaFi's head of research, Todd Rosenbluth, discussed the NEOS Enhanced Income 1-3 Month T-Bill ETF (CSHI) with Chuck Jaffe of Money Life. The pair discussed several topics related to the ETF, in order to give investors a deeper understanding of it.
VettaFi's Head of Research Todd Rosenbluth discussed the NEOS Enhanced Income 1-3 Month T-Bill ETF (CSHI) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” For more news, information, and analysis, visit the Tax Efficient Income Content Hub.
VettaFi's Head of Research Todd Rosenbluth discussed the NEOS Enhanced Income 1-3 Month T-Bill ETF (CSHI) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” For more news, information, and analysis, visit the Tax Efficient Income Content Hub.