YieldMax MSFT Option Income Strategy ETF (MSFO)
ARCA ARCA Primary 
MSFO: Decent Income, But Hold Expectations Realistic
Microsoft is positioned as a stable retiree asset, with growth driven by AI monetization and a growing dividend. The YieldMax MSFT Option Income Strategy ETF offers an aggressive ~32% yield via a buywrite strategy, suitable for retirement income. MSFO's upside capture is limited and downside protection is modest; its effectiveness depends on MSFT's low volatility profile.
MSFO: Extracting Tax-Efficient Income From Microsoft
I maintain my buy rating on YieldMax MSFT Option Income Strategy ETF for its attractive total return and resilience compared to other YieldMax ETFs. MSFO is ideal for investors seeking high income, offering a 35%+ yield and tax-efficient distributions, mainly as a return of capital. The fund's synthetic options strategy caps upside and leads to price erosion, so it's best used alongside a long MSFT position, not for capital appreciation.
MSFO: Big Yield On Microsoft
The YieldMax MSFT Option Income Strategy ETF (MSFO) offers a trailing yield over 32% using options to generate monthly income without directly investing in Microsoft. MSFO employs synthetic covered call positions, buying and selling MSFT call options, and selling MSFT put options to generate income and offset costs. Incepted in August 2023, MSFO holds $105.6M in assets, with a 0.99% expense ratio, primarily in US short-term securities and MSFT options.
MSFO: Strategic Use Of Options Helps Support High Dividend Yield
YieldMax MSFT Option Income Strategy ETF offers high income through option premiums, but caps upside and exposes investors to single stock risk. MSFO's synthetic covered call strategy mimics MSFT's price action, generating income by selling out-of-the-money call options, but may underperform in strong bull markets. Despite a 29% dividend yield, MSFO's price has declined; ideal for income-focused investors and best held in tax-advantaged accounts due to tax implications.
