MONTHLY DIVIDEND -QQQI DIVIDEND HISTORY AND YIELD

 QQQI DIVIDEND HISTORY AND YIELD

The NEOS Nasdaq-100 High Income ETF (QQQI) has an approximate dividend yield of 14.16% and a trailing 12-month annual dividend payout of $7.65 per share. [1]

Key Dividend Details

• Payout Frequency: Monthly
• Current Dividend Yield: ~14.16% – 14.18%
• Past Year Total Dividends: $7.65 per share
• Most Recent Payment: $0.65 per share (paid on August 21, 2026)
• Last Ex-Dividend Date: August 19, 2026 [1, 2]

Recent Dividend History (2026)

QQQI distributes income monthly. Recent payouts include: [1]

• August 2026: $0.65 (Ex-date: Aug 19, Pay date: Aug 21)
• July 2026: $0.63 (Ex-date: Jul 22, Pay date: Jul 24)
• June 2026: $0.66 (Ex-date: Jun 16, Pay date: Jun 18)
• May 2026: $0.66 (Ex-date: May 20, Pay date: May 22)
• April 2026: $0.63 (Ex-date: Apr 22, Pay date: Apr 24)
• March 2026: $0.61 (Ex-date: Mar 18, Pay date: Mar 20)
• February 2026: $0.61 (Ex-date: Feb 18, Pay date: Feb 20)
• January 2026: $0.64 (Ex-date: Jan 21, Pay date: Jan 23) [1]

Track detailed payout lists and metrics on Stock Analysis or review full historical tables at Slickcharts. [1, 2]

Further Exploration

• Check comprehensive metrics on Market Chameleon.
• Analyze total return stats on Total Real Returns. [1, 2]

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The Ultimate Guide to QQQI ETF: Dividend History, 14% Yield Strategy, and Tax Efficiency

Passive income investors are constantly searching for vehicles that deliver double-digit yields without completely sacrificing growth. The NEOS Nasdaq-100 High Income ETF (QQQI) has quickly become one of the most discussed funds in this category. Boasting a massive yield floating around 14.16% to 14.18% and delivering consistent monthly payouts, it has captured the attention of cash-flow-focused portfolios.

However, with ultra-high yields comes structural complexity. If you are considering adding QQQI to your portfolio or explaining it to your readers, it is vital to understand that this is not a traditional stock-dividend fund. It is a highly active option-income vehicle.

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1. What is the QQQI ETF?

Launched by NEOS Investments in early 2024, QQQI is an actively managed Exchange Traded Fund. Its core objective is simple: provide investors with high monthly income while retaining potential for equity appreciation based on the tech-heavy Nasdaq-100 Index.

Unlike a traditional index fund like Invesco QQQ, which simply holds the underlying companies and pays a minuscule dividend (~0.5%), QQQI supercharges its distributions using an automated options overlay program.

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2. How QQQI Generates Its 14% Yield

QQQI does not capture its 14% dividend from the organic corporate dividends of companies like Apple, Nvidia, or Microsoft. Instead, the yield is mathematically manufactured through an options strategy known as a Net Credit Call Spread.

The Core Mechanics:

1. Equity Replication: The fund buys and holds the actual stocks that comprise the Nasdaq-100 Index.
2. Writing Index Calls: The portfolio managers write (sell) call options directly against the broad-based Nasdaq-100 Index ($NDX). These options are written out-of-the-money (typically 1.5% to 4.5% above current asset prices). Selling these options generates a substantial premium immediately.
3. Buying Protective Calls: Unlike standard covered-call funds that completely cap their upside, NEOS utilizes a portion of the collected premium to buy even higher out-of-the-money call options. This creates a vertical call spread, allowing the fund to participate in the upside if the Nasdaq-100 undergoes an aggressive, unexpected bull rally.

By keeping the options flexible, NEOS aims to capture roughly 50% to 60% of the Nasdaq's upward momentum while converting volatility into immediate cash distributions.

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3. QQQI Dividend Payout History & Metrics

The fund distributions have shown substantial consistency since inception, maintaining narrow fluctuations throughout changing market environments.

Fundamental Dividend Metrics (September 2026):

• Current Annualized Yield: ~14.17%
• Trailing 12-Month Distribution: $7.65 per share
• Payout Frequency: Monthly
• Expense Ratio: 0.68%

2026 Monthly Dividend Track Record:

The monthly distribution has structurally varied based on the volatility index (VXN) of the Nasdaq. Higher volatility allows managers to sell options for richer premiums, resulting in larger payouts.

Ex-Dividend Date	Payment Date	Amount Per Share
September 16, 2026	September 18, 2026	$0.6400
August 19, 2026	August 21, 2026	$0.6500
July 22, 2026	July 24, 2026	$0.6346
June 16, 2026	June 18, 2026	$0.6600
May 20, 2026	May 22, 2026	$0.6589
April 22, 2026	April 24, 2026	$0.6300
March 18, 2026	March 20, 2026	$0.6089
February 18, 2026	February 20, 2026	$0.6140
January 21, 2026	January 23, 2026	$0.6400

Historical Context: Distributions have comfortably settled in a tight band of $0.61 to $0.66 per share over the past year, highlighting management's emphasis on income smoothing rather than chasing volatile peaks.

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4. The Tax Framework: Section 1256 and Return of Capital (ROC)

One of QQQI’s primary marketing features is its tax architecture, specifically designed to protect high-bracket income earners from being severely taxed on their payouts.

Section 1256 Contracts

Because QQQI writes options on the overarching, cash-settled Nasdaq-100 Index ($NDX) rather than on specific standalone equities like Apple or Tesla, these options qualify as Section 1256 contracts under IRS rules. Any capital gains realized from these options are automatically treated as 60% Long-Term Capital Gains and 40% Short-Term Capital Gains, regardless of how long the fund held the contract. This drastically minimizes the tax burden compared to pure short-term income.

Return of Capital (ROC) Classifications

A significant portion of QQQI’s distributions—often tracking higher than 90%—is classified as Return of Capital (ROC) on its Form 19a-1 notices.

• The Good: ROC is not taxed in the current year. Instead, it reduces your personal cost basis in the asset. If you buy a share at $50 and receive $7 in ROC payouts, your tax cost basis drops to $43. You pay nothing at tax time until you sell the asset or until your cost basis hits zero.
• The Hidden Risk: If your cost basis grinds down to zero over multiple years, any subsequent distributions or final liquidation will trigger massive long-term capital gains tax liabilities. It defers the tax liability to the future rather than erasing it entirely.

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5. The Performance Trade-Off: QQQI vs. QQQ

While a 14% cash distribution is incredibly attractive, it is vital to remember there is no free lunch on Wall Street. The income generated by writing call options is bought directly at the expense of capital appreciation.

• Capped Growth: In aggressive bull markets, the Nasdaq-100 index will blow past the strike prices of the options sold by QQQI. Although the fund's protective long calls mitigate total losses, the fund's growth will fundamentally lag behind a pure index holder.
• Historical Gap: Over standard prolonged bull cycles, Invesco QQQ historically beats QQQI on a Total Return basis (Share Price Growth + Reinvested Dividends). For instance, since its 2024 inception, QQQ has outpaced QQQI's total return by roughly 10 percentage points because the covered-call framework forfeits top-tier upside.
• Voluntary Implosion Risk: If market volatility (tracked by the VXN index) drops structurally below 15, options pricing deflates. If this compression persists, QQQI's available option premiums shrink, meaning the underlying yields could decline over time.

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6. Verdict: Who Should Invest in QQQI?

QQQI is a powerful financial tool, but it is highly situational.

Ideal For:

• Retirees and Cash-Flow Investors: Individuals who require immediate, predictable monthly cash to pay for living expenses without forcing them to manually liquidate core stock holdings.
• Tax-Conscious High Earners: Investors utilizing taxable brokerage accounts who want high income but want to defer their tax liability via Return of Capital and Section 1256 tax rates.

Not Ideal For:

• Long-Term Growth Investors: Young accumulators with a 10-to-30-year horizon should stick to pure equity index funds like QQQ or QQQM. Reinvesting a 14% dividend into a capped-upside asset is structurally less efficient than letting uncapped tech stocks compound organically.