At a glance
PBP charges 0.29% a year, below the 0.39% average of the 5 funds most like it (the cheapest of 6). It has $358.1M in assets, the 5th largest of that group; it paid 11.3% of its price in distributions over the past 12 months, monthly. Over the past year it returned +15.5% with distributions reinvested (S&P 500: +11.5%), the best of those 6 funds; over three years it returned +15.5% a year. At its worst it fell 18.6% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 17 months after the low. Its ten largest positions make up 38.1% of the fund, out of 504 in all.
The short version
Invesco S&P 500 BuyWrite ETF (PBP) tracks the CBOE S&P 500 BuyWrite Index. It holds the stocks in the S&P 500 and writes a near-term call option on the index each month, a covered-call strategy that gives up some upside in exchange for income. It pays monthly, with a trailing 12-month yield of 11.3% as of October 27, 2026. Its 0.29% expense ratio ties for the lowest among similar funds, compared with 0.60% for Global X's XYLD.
Price history
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PBP +15.5% 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 | |
|---|---|---|---|---|---|---|
| PBP official prospectus, to Dec 31, 2025 | — | +8.47% | — | +8.87% | +6.74% | — |
| PBP price data to Oct 27, 2026 | +11.4% | +15.5% | +15.5% | +7.8% | — | +10.9% |
- Over the year to Oct 27, 2026, PBP returned +15.5%, 1st of 6 among similar funds.
- Its 5-year annualized return was +7.8%.
- Its worst full calendar year was 2022 (-11.8%); its best was 2021 (+20.0%).
- The deepest fall in its price history was 18.6% (Apr 13, 2022 to Sep 30, 2022), recovered by Feb 23, 2024.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +11.4% | — |
| 2025 | +8.5% | +8.47% |
| 2024 | +19.7% | +19.71% |
| 2023 | +11.6% | +11.31% |
| 2022 | -11.8% | -11.72% |
| 2021 | +20.0% | +19.85% |
| 2020 | — | -3.41% |
| 2019 | — | +15.15% |
| 2018 | — | -5.26% |
| 2017 | — | +12.15% |
| 2016 | — | +6.21% |
| 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 | Not in the price data, which starts Jun 2, 2020 |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 17.5% over that stretch · deepest drop along the way 18.6%, back to its old high 16.8 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $2.0200 | |
| 2025 | $2.5400 | +16.0% |
| 2024 | $2.1900 | +200.0% |
| 2023 | $0.7300 | +170.4% |
| 2022 | $0.2700 | -81.3% |
| 2021 | $1.4400 |
What's inside
As of Jul 31, 2026, the fund held 504 securities; the ten largest made up 38.11% of assets.
| Holding | Weight | |
|---|---|---|
| NVIDIA Corp. | 7.65% | |
| Apple Inc. | 7.14% | |
| Microsoft Corp. | 5.43% | |
| Amazon.com, Inc. | 4.18% | |
| Alphabet Inc. Class A | 3.28% | |
| Broadcom Inc. | 2.90% | |
| Alphabet Inc. Class C | 2.65% | |
| Meta Platforms, Inc. | 1.92% | |
| JPMorgan Chase & Co. | 1.48% | |
| Berkshire Hathaway Inc. | 1.48% | |
| Micron Technology, Inc. | 1.46% | |
| Eli Lilly and Co. | 1.43% | |
| Tesla, Inc. | 1.38% | |
| Advanced Micro Devices, Inc. | 1.22% | |
| ExxonMobil Holdings Corp. | 1.01% |
By country
United States 98.31%Ireland 2.01%Switzerland 0.3%Bermuda 0.17%Liberia 0.12%By asset type
Stocks 101.26%By sector
Sectors of the companies held, for the 91.5% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jul 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jul 31, 2026, investors added a net $12.6M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +2.08%, +1.27%, +1.74%.
How it works
PBP is an index fund. The Chicago Board Options Exchange (Cboe) builds the CBOE S&P 500 BuyWrite Index to track a hypothetical "buy-write" strategy. That strategy holds an S&P 500 stock portfolio and writes a near-term S&P 500 Index call option, generally on the third Friday of each month. The fund uses full replication. This means it holds every stock in the index at the index's weights, so larger companies count for more. As of June 30, 2026, the index had 506 stocks, ranging from $5.2 billion to $4.8 trillion in market value. As of July 31, 2026, the largest holdings were NVIDIA (7.6%), Apple (7.1%) and Microsoft (5.4%). The top 10 made up 38.1% of the fund, and technology made up 35%.
A call option gives its buyer a right to gains above a set price, called the strike. The fund collects a fee, called a premium, for writing the call. If the S&P 500 ends above the strike at expiration, the fund pays the buyer the difference in cash. The fund keeps most of the market's downside, and the premium only partly offsets losses. The options trade on national exchanges.
For taxes, the fund expects to mark its gains and losses to market daily. Options income is usually taxed as ordinary income. Portfolio turnover was 57%.
What it really costs
- PBP charges 0.29% a year, versus an average of 0.39% for the similar funds below (1st of 6, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $30 in the first year and $368 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| PBP | $30 | $93 | $163 | $368 |
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.
In a retirement portfolio
PBP turns a full S&P 500 stock portfolio into a monthly income stream by writing index call options, and it gives up some growth in return.
PBP pays monthly. Its trailing 12-month yield was 11.3% as of October 27, 2026. Payouts can vary, and options income is usually taxed as ordinary income rather than as qualified dividends. Costs are low for the category: 0.29% a year, or $30 in the first year on $10,000 in the SEC's standard example.
The premiums soften losses only partly. The fund lost 22.32% in the first quarter of 2020, though it finished that year down only 3.41%. It lost 11.72% in 2022, its worst calendar year since 2016. From April 13 to September 30, 2022, it fell 18.6%. It took until February 23, 2024, about 17 months, to recover. Daily price records begin in June 2020, so they don't cover 2008. Someone drawing income in a slump might have to cash out shares at a loss. 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
- Investors who want monthly income from S&P 500 stocks. The trailing 12-month yield was 11.3% as of October 27, 2026.
- Cost-conscious covered-call investors. The 0.29% expense ratio is below the 0.39% average of similar funds and about half of XYLD's 0.60%.
- People who accept capped upside in return for smaller swings. One-year volatility was 7.1% and beta was 0.48 as of October 27, 2026.
Look elsewhere if
- Investors who want the S&P 500's full growth. The monthly calls cap gains above the strike, while most of the downside remains.
- Taxable investors who want qualified dividends. Options income is usually taxed as ordinary income, and the fund marks gains to market daily.
- Investors who want less tech exposure. As of July 31, 2026, technology was 35% of the fund, and NVIDIA, Apple and Microsoft together were about 20%.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| PBP this fund | — | 0.29% | $358.1M | +15.5% | +15.5% |
| XYLD Global X S&P 500 Covered Call ETF | 101% | 0.6% | $3.24B | +15.5% | +15.2% |
| XYLG Global X S&P 500 Covered Call & Growth ETF | 100% | 0.35% | $64.1M | +15.0% | +20.1% |
| GPIX S&P 500 Core Premium Income ETF | 89% | 0.29% | $4.72B | +14.7% | +22.6% |
| JEPQ JPMorgan NASDAQ Equity Premium Income ETF | 47% | 0.35% | $40.66B | +6.9% | +17.9% |
| JEPI JPMorgan Equity Premium Income Fund | 33% | 0.35% | $44.75B | +9.3% | +10.7% |
Questions investors ask
Does PBP pay monthly dividends?
Yes. PBP makes distributions every month. Its trailing 12-month payout was $2.63 per share, a yield of 11.3%, as of October 27, 2026. Much of that income comes from the premiums the fund collects for writing S&P 500 call options, along with dividends from the stocks it holds. The amounts can change from month to month. Options income is usually taxed as ordinary income rather than at the lower rate for qualified dividends.
What's the difference between PBP and XYLD?
The main differences are cost and size. Both funds hold S&P 500 stocks and write index call options, and their holdings overlap almost entirely. PBP charges 0.29% a year and XYLD charges 0.60%. As of July 31, 2026, XYLD had about $3.24 billion in assets and PBP about $358 million. Their price returns were close as of October 27, 2026: 15.5% for both over one year, and 15.5% versus 15.2% a year over three years.
Is PBP good for retirement income?
It may suit retirees who want monthly income from large US stocks, but it is still a stock fund with real downside. It returned an average of 6.74% a year over the 10 years to December 31, 2025. It lost 11.72% in 2022. Writing calls limits how much it can gain in strong markets, and that can slow its long-term growth. Retirees drawing income from it may have to cash out shares during downturns.
How much does PBP cost?
PBP's expense ratio is 0.29% a year, according to its prospectus filed August 27, 2026. That ties for the lowest among similar covered-call funds, where the average is 0.39%. In the SEC's standard example, $10,000 invested with a 5% annual return would cost about $30 after one year, $93 after three years, $163 after five years and $368 after ten years, assuming shares are redeemed at the end of each period.
Does PBP protect against stock market drops?
Only partly. The option premiums cushion losses by the amount collected, but the fund keeps most of the market's downside. PBP lost 22.32% in the first quarter of 2020 and 11.72% in calendar 2022. In 2022 it fell 18.6% from its April 13 peak to September 30 and did not recover until February 23, 2024, about 17 months later. Its one-year beta was 0.48 as of October 27, 2026, which means it moved about half as much as the market.