At a glance
SMCY charges 1.01% a year. It has $104.4M in assets; it paid 131.96% of its price in distributions over the past 12 months, monthly. Over the past year it returned −32.6% with distributions reinvested.
The short version
YieldMax SMCI Option Income Strategy ETF (SMCY) uses options to mirror the share price of one stock, Super Micro Computer (SMCI), and sells call options on it to generate income. It owns no SMCI shares. Treasury bills made up about 85% of its assets as of July 31, 2026. Its trailing yield was about 132% as of October 27, 2026. But payouts can include return of capital, its gains are limited, and its losses are not.
Price history
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SMCY -32.6% 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 | |
|---|---|---|---|---|---|---|
| SMCY official prospectus, to Dec 31, 2025 | — | -13.63% | — | — | — | -34.15% |
| SMCY price data to Oct 27, 2026 | +5.1% | -32.6% | — | — | — | -21.5% |
- Over the year to Oct 27, 2026, SMCY returned -32.6%.
- Its worst full calendar year was 2025 (-14.1%); its best was 2025 (-14.1%).
- The deepest fall in its price history was 64.4% (Oct 29, 2024 to Mar 20, 2026), not yet recovered.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +5.1% | — |
| 2025 | -14.1% | -13.63% |
| 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) | $4.0600 | |
| 2025 | $18.7200 |
What's inside
As of Jul 31, 2026, the fund held 5 securities; the ten largest made up 84.88% of assets, and 2.47% sat in cash and money-market holdings.
| Holding | Weight | |
|---|---|---|
| TREASURY BILL Bonds and notes | 21.06% | |
| TREASURY BILL Bonds and notes | 20.03% | |
| TREASURY BILL Bonds and notes | 19.80% | |
| TREASURY BILL Bonds and notes | 12.93% | |
| TREASURY BILL Bonds and notes | 11.05% |
By country
United States 84.88%By issuer
US Treasury 84.88%The bonds mature in 0.3 years on average (weighted by size), with an average coupon of 0%.
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 $31.2M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +49.50%, -32.56%, -3.77%.
How it works
SMCY is actively managed and has a single target: Super Micro Computer, Inc. (SMCI). It does not buy the stock. Instead, it builds a "synthetic" position from options. A call option gives the right to buy shares at a set price, called the strike. A put option gives the right to sell at the strike. Together, the fund's options are designed to rise and fall with SMCI's price. It uses standard exchange-traded options and FLEX options, which also trade on an exchange but allow custom terms such as the strike.
On top of that, the fund sells call options on SMCI. Buyers pay the fund a premium for SMCI's gains above the strike, and that premium is the income. In its "call spread" version, the fund may also buy higher-strike calls to keep some of the upside. Either way, it keeps only part of SMCI's gains but bears all of its losses, minus whatever premiums it collected. It does not switch to defensive positions in bad markets. Holdings change often: the prospectus reports 133% portfolio turnover.
Most of the money sits in short-term US Treasury bills. As of July 31, 2026, five T-bill positions made up about 85% of the fund, with an average maturity of about 0.3 years. Options on SMCI made up about 10% of net assets and cash about 2.5%. Shareholders get no SMCI dividends and no votes.
What it really costs
- SMCY charges 1.01% a year.
- Of that, 0.99% is the management fee; the rest covers other fund expenses.
- Using the prospectus's standard example, $10,000 invested would cost about $103 in the first year and $1,236 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| SMCY | $103 | $322 | $558 | $1,236 |
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
The fund's results depend on one very volatile stock, and its large payouts have come with steep losses in share value.
SMCY launched on September 11, 2024, so it has no record from the 2008, 2020 or 2022 downturns. Its own history is rough. It fell 64.4% from October 29, 2024 to March 20, 2026 and had not recovered as of October 27, 2026. The prospectus shows a 13.63% loss in 2025, including a 33.55% drop in the fourth quarter alone. Selling shares in a slump like that would lock in deep losses. The prospectus says the fund aims to pay weekly. Its trailing 12-month yield was about 132% as of October 27, 2026, but part of the payouts may be return of capital, and the share price fell 32.6% over the same year. Annual costs are 1.01%, or $103 in the first year on $10,000 in the SEC's 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
- Investors who want large, frequent cash payouts tied to Super Micro Computer and accept that payouts may partly return their own capital.
- Investors who want a small, speculative slice of a portfolio and can live with swings like the fund's 64.4% drop from October 2024 to March 2026.
- Investors who expect SMCI to trade sideways and care more about option premiums than about capturing a sharp rally in full.
Look elsewhere if
- Investors who need a diversified core holding: results depend on one stock that has had late SEC filings and weak internal controls.
- Cost-conscious investors: the 1.01% expense ratio adds up to $1,236 over 10 years on $10,000 in the SEC example.
- Investors who want SMCI's full upside, voting rights, dividends or qualified-dividend tax treatment. Option income is usually taxed as ordinary income.
Close alternatives
Matched by bond funds with the closest average maturity and issuer mix (N-PORT).
No close alternatives found.
Questions investors ask
Is SMCY good for retirement income?
It pays large distributions, but it is a risky source of retirement income. The trailing 12-month yield was about 132% as of October 27, 2026, yet the share price fell 32.6% over the same year. Part of the payouts may be return of capital rather than profit. The fund depends on one volatile stock, Super Micro Computer, and at its worst fell 64.4%. It may suit a small, higher-risk slice of a portfolio more than a core income role.
How often does SMCY pay dividends?
The prospectus says the fund aims to pay cash distributions every week. Over the 12 months to October 27, 2026, it paid about $5.78 per share. The amounts vary with option premiums, which rise and fall with SMCI's volatility, so payouts are not steady. Some distributions may count as return of capital, meaning part of the money is your original investment handed back. Option income is usually taxed as ordinary income, not as qualified dividends.
Does SMCY own Super Micro Computer stock?
No. SMCY holds no SMCI shares. As of July 31, 2026, about 85% of its assets were in five US Treasury bill positions, about 2.5% in cash and about 10% in options on SMCI. The options copy SMCI's price moves and produce the premium income. Because the fund doesn't own the stock, shareholders get no SMCI dividends and no voting rights. The options also bring counterparty risk, though cleared options run through a clearing house.
What's the difference between SMCY and owning SMCI shares?
Owning SMCI directly gives you all of its gains and losses, plus voting rights and any dividends, with no fund fee. SMCY gives up part of the upside in exchange for option income. The calls it sells limit its gains, while it still takes SMCI's losses, offset only partly by premiums. It also charges 1.01% a year. Its strongest quarter was a 29.81% gain (ended June 30, 2025) and its worst a 33.55% loss (ended December 31, 2025).
What is SMCY's expense ratio?
SMCY's expense ratio is 1.01%, which includes a 0.99% management fee, according to the prospectus filed February 24, 2026. The SEC's standard example assumes $10,000 invested and a 5% annual return. On that basis, costs come to about $103 after one year, $322 after three, $558 after five and $1,236 after ten. The fund also trades heavily, with 133% portfolio turnover, which can add trading costs that the expense ratio doesn't include.