KNG vs MAGY

KNGAFT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF

MAGYDRoundhill Magnificent Seven Covered Call ETF

In short

KNG Dividend 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.

MAGY The Magnificent Seven with a weekly options sleeve: MAGY owns Roundhill's equal-weight seven-stock fund and sells calls against it for income, at 0.99% net of a waiver through April 30, 2028.

Stated mandate

KNG 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.

MAGY The Fund's primary objective is current income, with a secondary objective of gaining exposure to the return of the Roundhill Magnificent Seven ETF.

Why people hold it

• KNG 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.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.govcboe.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.

• MAGY Buys MAGS, the equal-weight basket of all seven mega caps rebalanced quarterly, then writes calls on that one ticker instead of juggling seven single-stock overlays.roundhillinvestments.comroundhillinvestments.com 2
• Calls are sold out of the money, so the basket has room to rise to the strike before gains are capped. Premium goes out as weekly distributions.roundhillinvestments.comroundhillinvestments.com 2
• The fee is waived from a 1.19% gross rate to 0.99% through April 30, 2028, a long runway for a fund that launched in 2025.

Worth knowing

• KNG 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.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.

• MAGY That 0.99% sits above the median of its 25-fund options-income group; KNG charges 0.74% and EFAA 0.39% net of a waiver through August 31, 2027.
• Seven stocks, non-diversified. The overlay trims upside above the strike while the basket's drawdowns still flow through to you.roundhillinvestments.com
• Young (April 2025) and among the thinner-traded names in its category, which lands in the lower half of that peer set. Limit orders earn their keep.

Full KNG profile⁠

Full MAGY profile⁠