KNG vs NIHI

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

NIHIBNEOS MSCI EAFE High Income 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.

NIHI Developed-market international equity with the income engine bolted on: NIHI holds MSCI EAFE exposure and sells index calls for high monthly income, structured for 60/40 tax treatment. 0.68% net of a waiver through May 1, 2027.

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.

NIHI The Fund seeks high monthly income in a tax-efficient manner while retaining potential for equity appreciation. It invests in ETFs or stocks tracking the MSCI EAFE Investable Market Index and primarily writes call options on that index.

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.

• NIHI 0.68% net of a waiver through May 1, 2027 (0.75% gross), below the median for options-income funds. EFAA, at 0.39% net of a waiver through August 31, 2027, goes lower.
• The index calls are Section 1256 contracts: gains count 60% long-term and 40% short-term no matter the holding period, and managers may harvest losses against gains.neosfunds.comsec.gov
• Not a pure premium harvester. The adviser can run a net-credit call spread, buying further out-of-the-money calls, to keep some participation when the index climbs.neosfunds.comsec.gov
• Developed-market stocks tracked through the MSCI EAFE Investable Market Index, with the option income paid out monthly.

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.

• NIHI Selling calls trades away gains above the strikes: when the index rallies past them, those short calls lose and limit how much of the climb the fund keeps.neosfunds.com
• Monthly payouts vary and can include return of capital, which hands back part of your own investment and lowers your cost basis.neosfunds.com
• Launched in September 2025, so the track record is short, and it trades lightly next to the category's giants.

Full KNG profile⁠

Full NIHI profile⁠