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LQDW vs LQTI

iShares Investment Grade Corporate Bond BuyWrite Strategy ETF

LQDWACboe

FT Vest Investment Grade & Target Income ETF

LQTIBNYSE Arca

Overlap

Expense ratio

LQDW −0.31pt a year

LQDW0.34%LQTI0.65%

Avg volume · 30D

LQTI 1.2×the volume

LQDW107KLQTI126K

LQDW vs LQTI Performance

Oct 31, 2025 – Oct 30, 2026

+2.0%LQDW−1.1%LQTI

Oct 31, 2025 to Oct 30, 2026. LQDW +2.0%. LQTI −1.1%. Use the arrow keys to read each point.−3%−2%0%1%3%Oct 2025Apr 2026Oct 2026
Expense ratio
LQDW 0.34%, better
LQTI 0.65%
Fund size
LQDW $353M
LQTI $187M
1Y total return
LQDW +2.0%, better
LQTI −1.1%
Yield (12M)
LQDW 12.38%, better
LQTI 9.44%
Holdings
LQDW 3192
LQTI 5
Avg volume (30D)
LQDW 107K sh
LQTI 126K sh, better
NAV per share
LQDW $22.87
LQTI $18.31
52W range

ETF.net Grade

LQDW: Cost 100, Risk 66, Mission 94, Tradability 78, Holdings 100, Durability 82. LQTI: Cost 81, Risk 54, Mission 93, Tradability 78, Holdings 29, Durability 68.
Pillar letters and Scores for LQDW, LQTI, with each pillar’s weight
PillarLQDWLQTI
Cost30% weightA100HigherA81
Mission25% weightA94HigherA93
Risk15% weightB66HigherC54
Tradability15% weightA78A78
Holdings10% weightA100HigherD29
Durability5% weightA82HigherB68

Rank among Index Option Income funds

How we build Categories ›
Same Category. Both funds are graded against the same funds, so their Grades compare head to head.

Same Category. LQDW and LQTI are both graded against the same 25 Index Option Income funds, so their Grades compare head to head.

Index Option Income⁠

Category · 25 funds
See all 25 ›

LQDW ranks 1st and LQTI 5th of 25 funds in the Index Option Income Category.

  1. Rank 1ALQDWiShares Investment Grade Corporate Bond BuyWrite Strategy ETFScore 87
  2. Rank 2AEFAAInvesco MSCI EAFE Income Advantage ETFScore 78
  3. Rank 4BIDUBAptus International Enhanced Yield ETFScore 68
  4. Rank 5BLQTIFT Vest Investment Grade & Target Income ETFScore 67
  5. Rank 6BACYNFT Vest Laddered Autocallable Barrier & Income ETFScore 66

Our read on each fund

ETF.net Research

LQDWAiShares Investment Grade Corporate Bond BuyWrite Strategy ETF

LQTIBFT Vest Investment Grade & Target Income ETF

In short

LQDW Covered calls, but on bonds. LQDW owns iShares' flagship investment-grade corporate bond fund and writes monthly calls against it, paying distributions monthly, at less than half the option-income cohort's median fee.

LQTI Corporate-bond income without the corporate bonds. LQTI holds US Treasuries and runs purchased and written calls on an investment-grade bond ETF, targeting that fund's distribution rate plus 5 percentage points, paid monthly.

Stated mandate

LQDW The fund seeks to track a strategy holding LQD while writing monthly covered calls to generate income.

LQTI The Fund seeks current income and secondarily capital appreciation through U.S. Treasury securities and purchased and written call options, including FLEX Options, on its investment-grade corporate bond ETF underlying.

Why people hold it

  • LQDW At 0.34%, it undercuts the typical option-income fund by well over half (cohort median 0.75%), so less of the premium collected leaks out as fees.
  • One ticker buys the whole trade: shares of LQD plus a rules-based monthly call overlay. No options approval, no roll dates to babysit.ishares.com
  • A thin niche. Most option-income funds write calls on stock baskets; this one sits on investment-grade corporate credit instead.
  • Distributions land monthly, and since its 2022 launch the fund has stuck closely to its stated strategy, among the tighter implementations in its peer group.
  • LQTI The payout target is a formula, not a guess: the underlying investment-grade bond ETF's annual distribution rate plus 5 percentage points, distributed monthly.ftportfolios.com
  • 0.65% a year, under the going rate for option-income funds in its peer group.
  • The bonds it actually owns are US Treasuries. Corporate credit exposure arrives through FLEX options instead of a pile of individual issues.ftportfolios.com
  • The portfolio does what the prospectus says it does, which puts it among the stronger implementations in the option-income overlay group.

Worth knowing

  • LQDW Written calls cap the upside. If corporate bonds rally hard, the premium collected is the consolation for price gains handed to the call buyer.
  • Premium cushions, it does not shield. Widening credit spreads or rising rates still hit the underlying bond portfolio.
  • Mid-sized and moderately traded rather than a giant, so spreads can run wider than in the biggest option-income names, especially in fast markets.
  • LQTI First Trust discloses that distributions can include return of capital, so part of a monthly check may be your own money coming back.ftportfolios.com
  • Written calls sell away upside on the reference bond ETF in exchange for premium. A strong credit rally is trimmed at the top.
  • Launched February 2025, so there is not yet a long record showing how the income target behaves across rate and credit swings.

Full LQDW profile⁠

Full LQTI profile⁠

LQDW vs LQTI Holdings

How we measure overlap

Each holding counts at its smaller weight in the two funds, summed over the full Holdings. Sector, country and asset class use the same rule on each fund’s split. Cash, FX and derivative lines stay out of the counts. Two bond funds get no overlap figure.

LQDW vs LQTI Cost

Overpaying LQTI vs LQDW

$5,785

On $10,000 over 30 years. 7% growth a year before fees, expense ratio only.

  • LQDW 0.34%

    $6,932

  • LQTI 0.65%

    $12,717

$10,000
30 years

Cost over time

  • LQDW 0.34%
  • LQTI 0.65%
  • Overpaying
One line per fund, from year 0 to year 30. Use the arrow keys to read each point.$0$5K$10K$15K051015202530LQTI $12,717LQDW $6,932

Year by year

YearLQDWLQTIOverpaying
10$616$1,163$547
20$2,386$4,440$2,054
30$6,932$12,717$5,785

Expense ratio

  • 0.34%LQDW, cheaper
  • 0.65%LQTI
  • Middle half of Index Option Income funds
  • Median 0.81%

LQDW cheapest of 25 funds

LQTI 5th cheapest of 25 funds

LQDW vs LQTI Dividends

Last 12 months to Oct 30, 2026
Yield (12M)
LQDW 12.38%, better
LQTI 9.44%
Payout (12M)
LQDW $2.83
LQTI $1.73
Last payment
LQDW $0.38
LQTI $0.14
Ex-dividend
LQDW Oct 2, 2026
LQTI Oct 1, 2026
Paid on
LQDW Oct 7, 2026
LQTI Oct 2, 2026
Frequency
LQDW Monthly
LQTI Monthly

Distribution history

Per share, 2023 to 2026, same scale for both

LQDWMonthly · 45 paymentsAll LQDW payments⁠
One bar per payment. 45 payments from 2023 to 2026 YTD. Feb 2, 2023 $0.61; Mar 2, 2023 $0.47; Apr 4, 2023 $0.55; May 2, 2023 $0.45; Jun 2, 2023 $0.42; Jul 5, 2023 $0.62; Aug 2, 2023 $0.23; Sep 5, 2023 $0.39; Oct 3, 2023 $0.40; Nov 2, 2023 $0.42; Dec 4, 2023 $0.56; Dec 22, 2023 $0.62; Feb 2, 2024 $0.41; Mar 4, 2024 $0.47; Apr 2, 2024 $0.25; May 2, 2024 $0.36; Jun 4, 2024 $0.26; Jul 2, 2024 $0.32; Aug 2, 2024 $0.30; Sep 4, 2024 $0.34; Oct 2, 2024 $0.35; Nov 4, 2024 $0.23; Dec 3, 2024 $0.31; Dec 20, 2024 $0.53; Feb 4, 2025 $0.43; Mar 4, 2025 $0.26; Apr 2, 2025 $0.27; May 2, 2025 $0.56; Jun 3, 2025 $0.45; Jul 2, 2025 $0.29; Aug 4, 2025 $0.31; Sep 3, 2025 $0.24; Oct 2, 2025 $0.24; Nov 4, 2025 $0.34; Dec 2, 2025 $0.27; Dec 23, 2025 $0.27; Feb 3, 2026 $0.22; Mar 3, 2026 $0.16; Apr 2, 2026 $0.30; May 4, 2026 $0.17; Jun 2, 2026 $0.18; Jul 2, 2026 $0.19; Aug 4, 2026 $0.20; Sep 2, 2026 $0.15; Oct 2, 2026 $0.38. Use the arrow keys to read each point.$0$0.5020232026YTD
LQTIMonthly · 19 paymentsAll LQTI payments⁠
One bar per payment. 19 payments from 2023 to 2026 YTD. Apr 1, 2025 $0.23; May 1, 2025 $0.15; Jun 2, 2025 $0.15; Jul 1, 2025 $0.15; Aug 1, 2025 $0.15; Sep 2, 2025 $0.15; Oct 1, 2025 $0.15; Nov 3, 2025 $0.15; Dec 1, 2025 $0.15; Jan 2, 2026 $0.15; Feb 2, 2026 $0.15; Mar 2, 2026 $0.15; Apr 1, 2026 $0.14; May 1, 2026 $0.14; Jun 1, 2026 $0.14; Jul 1, 2026 $0.14; Aug 3, 2026 $0.14; Sep 1, 2026 $0.14; Oct 1, 2026 $0.14. Use the arrow keys to read each point.$0$0.5020232026YTD

LQDW vs LQTI Risk

Fall from peak · 5 years

This chart needs five years of history for both funds.

Risk facts

VolatilityStd dev, 3 years
LQDW 4.2%LQTI 4.5%since Mar 2025
Return per unit of riskSharpe ratio, 3 years
LQDW 0.16LQTI −0.43since Mar 2025
Worst fallMax drawdown, 5 years
LQDW −9.2%since Aug 2022LQTI −5.6%since Feb 2025
Market sensitivityBeta, 5 years
LQDW 0.59LQTI 0.09

LQDW and LQTI in the news

All news⁠

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