At a glance
NBOS charges 0.57% a year. It has $532.2M in assets; it paid 8.84% of its price in distributions over the past 12 months, monthly. Over the past year it returned +14.9% with distributions reinvested.
The short version
Neuberger Berman Option Strategy ETF (NBOS) is an actively managed fund that sells put options on U.S. stock indexes and ETFs, mainly tied to the S&P 500. It holds short-term U.S. Treasury notes as collateral for those options. Its main draw is monthly income, with a trailing 12-month yield of 8.84% as of October 27, 2026, and it aims for smaller swings than the S&P 500. The trade-offs are weaker gains in strong rallies and a 0.57% expense ratio.
Price history
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NBOS +14.9% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| NBOS official prospectus, to Dec 31, 2024 | — | +12.77% | — | +8.19% | — | +7.87% |
| NBOS price data to Oct 27, 2026 | +12.5% | +14.9% | — | — | — | +13.1% |
- Over the year to Oct 27, 2026, NBOS returned +14.9%.
- Its worst full calendar year was 2025 (+12.2%); its best was 2025 (+12.2%).
- The deepest fall in its price history was 12.7% (Feb 19, 2025 to Apr 8, 2025), recovered by Jul 17, 2025.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +12.5% | — |
| 2025 | +12.2% | — |
| 2024 | — | +12.77% |
| 2023 | — | +15.35% |
| 2022 | — | -11.11% |
| 2021 | — | +18.21% |
| 2020 | — | +8.43% |
| 2019 | — | +16.13% |
| 2018 | — | -5.86% |
| 2017 | — | +11.33% |
| 2016 | — | 0.00% |
| 2015 | — | 0.00% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.9400 | |
| 2025 | $2.1300 |
What's inside
As of Aug 31, 2026, the fund held 8 securities; the ten largest made up 92.99% of assets, and 6.65% sat in cash and money-market holdings.
| Holding | Weight | |
|---|---|---|
| United States Treasury Bonds and notes | 13.43% | |
| United States Treasury Bonds and notes | 13.12% | |
| United States Treasury Bonds and notes | 11.81% | |
| United States Treasury Bonds and notes | 11.65% | |
| United States Treasury Bonds and notes | 11.35% | |
| United States Treasury Bonds and notes | 11.16% | |
| United States Treasury Bonds and notes | 10.39% | |
| United States Treasury Bonds and notes | 10.08% |
By country
United States 92.99%By issuer
US Treasury 92.99%The bonds mature in 0.9 years on average (weighted by size), with an average coupon of 4.14%.
Source: N-PORT holdings report as of Aug 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Aug 31, 2026, investors added a net $77.3M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +0.45%, +1.38%, +1.51%.
How it works
NBOS does not track an index. Its managers sell, or "write," put options. A put option gives the buyer the right to sell an index or ETF to the fund at a set price, called the strike price. The fund collects a payment, called a premium, for taking on that obligation. If the market stays above the strike price, the fund keeps the premium. If the market falls below it, the fund pays the difference. The managers choose strike prices and expiration dates based on market volatility, valuations and the risks they see.
Options don't require the fund to set aside the full value of its exposure. So most of its assets sit in investment-grade bonds that serve as collateral. As of August 31, 2026, about 93% was in eight U.S. Treasury note issues with an average maturity of 0.9 years. Cash made up another 6.65%. Its options included contracts on the SPDR S&P 500 ETF. The fund generally reinvests premiums in bonds and money market funds.
When the fund writes options, their total exposure generally equals 100% of its assets and can reach 125%. That creates leverage, so losses in a sharp fall can be large. The fund may also buy puts and put spreads, write covered and uncovered calls, and use FLEX options, which are exchange-traded options with customizable terms. It trades often: turnover was 112%, which can raise costs and capital gains payouts.
What it really costs
- NBOS charges 0.57% a year.
- Of that, 0.5% is the management fee; the rest covers other fund expenses.
- The fee includes a 0.02% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $58 in the first year and $732 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| NBOS | $58 | $183 | $323 | $732 |
Structure and tax notes
- Generates much of its income from selling options (directly or through notes). That income is usually taxed as ordinary income rather than as qualified dividends, and the strategy gives up some upside in strong markets.
- Bond prices move opposite to interest rates; the longer the maturities it holds, the more its price reacts to rate changes.
In a retirement portfolio
NBOS pays out monthly from option premiums and Treasury interest, and its trailing yield was 8.84% as of October 27, 2026.
NBOS could add monthly income and a smoother ride than holding stocks outright, but its risk still comes from the stock market. The ETF's price history starts January 29, 2024, so it misses the 2008, 2020 and 2022 downturns. The prospectus shows performance from before that date: a 15.69% fall in the first quarter of 2020 and an 11.11% loss in 2022, its worst calendar year. Since launch, its deepest drop was 12.7%, from February 19 to April 8, 2025. It recovered by July 17, 2025, about 3.3 months later. Selling shares during a drop like that locks in the loss.
The income is paid monthly but isn't guaranteed. It is usually taxed as ordinary income. Annual costs are 0.57%, or $58 on $10,000 in year one in the SEC's standard example. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Income-focused investors who want monthly payouts. The trailing yield was 8.84% as of October 27, 2026, though payouts vary.
- Investors who want some S&P 500 exposure with smaller swings. As of October 27, 2026, one-year beta was 0.54 and volatility 7.9%.
- Investors holding it in an IRA or similar account, where option income taxed as ordinary income may matter less.
Look elsewhere if
- Investors who want the full gains of the S&P 500. Selling puts limits upside to the premiums collected, so NBOS can lag in strong rallies.
- Investors who want bond-like safety. About 93% sits in Treasury notes, but stock-market options drive returns, including an 11.11% loss in 2022.
- Cost-conscious investors. The 0.57% expense ratio and 112% turnover cost more than a plain index fund, and the ETF only listed in January 2024.
Close alternatives
Matched by bond funds with the closest average maturity and issuer mix (N-PORT).
No close alternatives found.
Questions investors ask
Does NBOS pay monthly dividends?
Yes. NBOS pays distributions monthly. Over the 12 months to October 27, 2026, it paid $2.53 per share, a trailing yield of 8.84%. The money comes mainly from premiums the fund earns by selling put options, plus interest on its Treasury notes. Option income is usually taxed as ordinary income rather than as qualified dividends. Payouts aren't fixed and can change with market conditions.
Is NBOS a bond fund?
Not really. As of August 31, 2026, about 93% of its assets were in short-term U.S. Treasury notes, with an average maturity of 0.9 years. Those bonds mostly serve as collateral for the put options the fund sells on the S&P 500 and related indexes. The options drive most of its gains and losses, so it behaves more like a lower-volatility stock fund than a Treasury fund.
How is NBOS different from an S&P 500 index fund?
An S&P 500 index fund owns the stocks and captures their full gains and losses. NBOS sells put options on the index instead. It collects premiums that may cushion small declines, but it gives up gains above those premiums in strong rallies. Its one-year beta, a measure of how much it moves with the market, was 0.54 as of October 27, 2026. It can still lose money: its deepest drop was 12.7% in early 2025.
How has NBOS performed?
The prospectus reports a 12.77% return for 2024 and an 8.19% average annual return over five years, both as of December 31, 2024. That record includes years before the ETF's January 29, 2024 launch. It shows an 11.11% loss in 2022 and a 5.86% loss in 2018. Based on price data, NBOS returned 12.19% in 2025 and 14.9% over the year to October 27, 2026.
What is the NBOS expense ratio?
NBOS has a 0.57% expense ratio, according to its prospectus filed December 12, 2025. That includes a 0.50% management fee. In the SEC's standard example, a $10,000 investment earning 5% a year would cost about $58 in one year, $183 over three years, $323 over five years and $732 over ten. Its 112% portfolio turnover can add trading costs that the expense ratio doesn't capture.