Category Review
Index option income was not one bet this year
FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF
$49.29+0.10 (+0.21%)
- 0.74%
- $3.3B
- +10.2%
- 8.56%
- 0.3M sh
- $48.82
- low $47.68high $53.20
The ETF.net KNG Grade
A
Score 73 out of 100
- 3 of 25
Score 73 of 100 falls in the A band. A is 70 or higher, B 55 to under 70, C 40 to under 55, D 25 to under 40, F under 25.
Cost
The fund’s net expense ratio, ranked against its category.B67 out of 100Rank 8 of 25Mission
Whether the fund did what it promised, tested against its stated mandate.Risk
How the fund held up when markets fell: downside volatility, drawdowns and tail loss.B56 out of 100Rank 11 of 25Tradability
How easy the fund is to trade: daily volume, and how far its price strays from net asset value.A92 out of 100Rank 1 of 25Holdings
How concentrated the fund is, and how complete and current its disclosed holdings are.A81 out of 100Rank 3 of 19Durability
Whether the fund is likely to stay open, judged by its age, its assets and its issuer’s assets.A96 out of 100Rank 1 of 25
Our read on KNG
ADividend Aristocrats with an income motor bolted on. KNG equal-weights the S&P 500's 25-year dividend raisers, then sells calls on each stock, sized by rule to hit an income target above the index's yield. Monthly payer since 2018.
The Fund seeks to track the price and yield of the Cboe S&P 500 Dividend Aristocrats Target Income Index Monthly Series before fees and expenses.
Why people hold it
- Base portfolio is the S&P 500 Dividend Aristocrats: roughly 140 companies that have raised dividends for at least 25 straight years, held equal-weighted instead of by market cap.cdn.cboe.com
- The overlay is written stock by stock, not as one index-level call, and the call count floats by rule to chase an income target set against the S&P 500's dividend yield.sec.govcdn.cboe.com
- Calls cover only part of each position, so a slice of every holding stays uncapped. Income lands monthly.sec.gov
- Running since 2018, well before the covered-call crowd showed up, and one of the stronger implementations in its peer group.
Worth knowing
- Calls cap the upside on the covered portion of each stock, so in a fast rally those shares can lag the Aristocrats the fund holds outright.sec.gov
- Coverage floats with option pricing, so how much of the portfolio is written against (and how much upside stays open) shifts over time.cdn.cboe.comsec.gov
- Distributions can include return of capital, which trims your cost basis. At 0.74%, the fee sits about level with the 0.75% cohort median, and it prices like an options strategy.
KNG Holdings
- Other
- 70
- 17%
- BDX
Sectors
- Consumer Staples22.7%
- Industrials20.1%
- Financials13.1%
- Health Care11.1%
- Materials10.1%
- Consumer Discretionary5.7%
- Utilities5.4%
- Technology4.8%
- Real Estate3.9%
- Energy3.2%
Geography
- United States92.86%
- Switzerland2.90%
- United Kingdom2.64%
- Ireland1.60%
KNG Performance
Shows how $10,000 changes over the selected period, with cash distributions reinvested at the closing price on each ex-dividend date.
Not enough history yet.
KNG$11,025
Returns run to the Oct 12, 2026 close, with cash distributions reinvested. Each period starts on the same date that many months or years earlier. Periods over one year show the average yearly return.
| Period | KNG |
|---|---|
| Year to date | +6.6% |
| 1 month | −0.6% |
| 3 months | −1.5% |
| 1 year | +10.2% |
| 3 years | +9.4% |
| 5 years | +5.7% |
| 10 years | — |
Calendar-year total return with cash distributions hypothetically reinvested at the ex-dividend date’s closing price. The current year shows year to date.
| Year | Return bar | KNG |
|---|---|---|
| 2026 YTD | +6.6% | |
| 2025 | +6.6% | |
| 2024 | +6.0% | |
| 2023 | +7.5% | |
| 2022 | −7.1% | |
| 2021 | +24.7% | |
| 2020 | +7.2% |
KNG in the news
KNG Dividends
- 8.56%
- $4.21
- $0.34 per share
- Monthly
Distribution history
KNG Risk
- 11.6%
How it’s calculated: standard deviation
The sample standard deviation of monthly total returns, multiplied by the square root of 12.
Uses up to 36 complete months, with at least 12 required. Total returns include reinvested distributions.
- 0.34
How it’s calculated: Sharpe ratio
Subtract each month’s Treasury-bill return from the fund’s monthly total return.
Divide the average of those excess returns by their sample standard deviation, then multiply by the square root of 12.
Uses up to 36 complete months, with at least 12 required. Each month uses the Treasury yield quoted at the end of the previous month.
- −18.2%
How it’s calculated: maximum drawdown
The largest percentage decline from an earlier peak, using total returns with reinvested distributions.
Uses up to five years through the last close, with at least 12 months required.
- 0.54
How it’s calculated: beta
The beta figure is supplied by FMP. The comparison index depends on the fund’s broad asset class.
KNG Cost
0.74%
KNG0.74%
- The middle half of Index Option Income funds
- Median 0.81%
7 of the 25 Index Option Income funds charge less.
Other funds in Index Option Income
- ALQDWiShares Investment Grade Corporate Bond BuyWrite Strategy ETFExpense ratio 0.34%1 year return +0.5%
- AEFAAInvesco MSCI EAFE Income Advantage ETFExpense ratio 0.42%1 year return +13.5%
- BIDUBAptus International Enhanced Yield ETFExpense ratio 0.44%1 year return +23.2%
- BACYNFT Vest Laddered Autocallable Barrier & Income ETFExpense ratio 0.75%1 year return —
- BLQTIFT Vest Investment Grade & Target Income ETFExpense ratio 0.65%1 year return −3.0%