At a glance
TLTI charges 0.58% a year, above the 0.07% average of the 7 funds most like it (the most expensive of 8). It has $15.5M in assets, the 8th largest of that group; it paid 6.37% of its price in distributions over the past 12 months, monthly. Over the past year it returned −5.1% with distributions reinvested, 3rd of those 8 funds.
The short version
NEOS Enhanced Income 20+ Year Treasury Bond ETF (TLTI) is an actively managed fund that holds long-term U.S. Treasury bonds and sells S&P 500 put options, partly offset by puts it purchases, to add monthly income. Its distributions equaled a 6.37% yield over the 12 months to October 27, 2026. The trade-offs: a 0.58% annual fee, far above the 0.07% average for similar Treasury funds, and stock-market risk that plain Treasury funds avoid.
Price history
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TLTI -5.1% 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 | |
|---|---|---|---|---|---|---|
| TLTI official prospectus, to Dec 31, 2025 | — | -1.28% | — | — | — | — |
| TLTI price data to Oct 27, 2026 | -1.5% | -5.1% | — | — | — | -1.0% |
- Over the year to Oct 27, 2026, TLTI returned -5.1%, 3rd of 8 among similar funds.
- Its worst full calendar year was 2025 (+4.4%); its best was 2025 (+4.4%).
- The deepest fall in its price history was 11% (Feb 27, 2026 to Oct 5, 2026), not yet recovered.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -1.5% | — |
| 2025 | +4.4% | +4.52% |
| 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) | $2.2800 | |
| 2025 | $2.9400 |
What's inside
As of Jun 30, 2026, the fund held 1 securities; the ten largest made up 96.79% of assets.
| Holding | Weight | |
|---|---|---|
| United States Treasury Note/Bond Bonds and notes | 96.79% |
By country
United States 96.79%By issuer
US Treasury 96.79%The bonds mature in 27.1 years on average (weighted by size), with an average coupon of 4.13%.
Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors added a net $2.7M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -0.43%, +0.66%, +1.11%.
How it works
NEOS Investment Management, LLC picks TLTI's holdings rather than tracking an index. Normally at least 80% of net assets sit in U.S. Treasuries with 20 or more years to maturity, ETFs holding them, or related futures, forwards and options. Average duration, a gauge of interest-rate sensitivity, normally runs 20 to 30 years. That means a one-percentage-point rise in rates would cut bond values by roughly 20% to 30%. As of June 30, 2026, a single Treasury bond made up 96.79% of net assets.
The extra income comes from a “put spread” on the S&P 500. The fund sells index put options covering up to 100% of net assets. It collects upfront payments but owes money if the index ends below a set “strike” price. Puts it purchases at lower strikes limit how much it can lose. On June 30, 2026, it had sold puts at strikes of 6,850 and 6,925 and owned puts at 6,550 to 6,675, all expiring July 9, 2026. They settle in cash at expiration. NEOS says the approach aims for gains in rising, flat or modestly falling stock markets; a sharp drop can bring losses.
Those index options count as Section 1256 contracts, so their gains and losses are treated as 60% long-term and 40% short-term for tax purposes, however long they were held. That treatment covers the options, not the bonds' interest.
What it really costs
- TLTI charges 0.58% a year, versus an average of 0.07% for the similar funds below (8th of 8, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $59 in the first year and $726 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| TLTI | $59 | $186 | $324 | $726 |
Structure and tax notes
- 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
Its stated goal is monthly income, drawn from long-term Treasury interest plus premiums from selling S&P 500 put options.
TLTI could add monthly income: its distributions equaled a 6.37% yield over the 12 months to October 27, 2026. It launched in December 2024, so it has no record in the 2008, 2020 or 2022 downturns. Its only full calendar year, 2025, returned 4.52%. Its deepest drop, about 11%, ran from February 27 to October 5, 2026, and it had not recovered by October 27, 2026. Selling shares in such a stretch would lock in losses, and payouts aren't guaranteed.
Two risks stack up: long bonds fall when rates rise, and its S&P 500 put options lose money when stocks drop sharply, which could blunt the cushion long Treasuries often provide. Costs are high: $59 in year one and $726 over 10 years on $10,000, in the SEC's standard 5%-return example. Past results don't predict the future, and a plan should weigh the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors wanting monthly payouts from long-term Treasuries who accept S&P 500 put-option risk for a 6.37% trailing yield (as of October 27, 2026).
- Taxable-account investors who value its index options' Section 1256 treatment: gains and losses are taxed as 60% long-term and 40% short-term.
- Investors comfortable with large price swings from interest-rate changes, given an average duration that normally runs 20 to 30 years.
Look elsewhere if
- Cost-conscious investors: its 0.58% expense ratio ranks highest among eight comparable Treasury funds; TLT charges 0.15% and VGLT 0.03%.
- Investors seeking a stock-market hedge from long Treasuries: its S&P 500 puts lose money in sharp stock declines, which could offset bond gains.
- Those wanting a long record or a large fund: it launched in December 2024 and held about $15.5 million as of June 30, 2026.
Close alternatives
Matched by bond funds with the closest average maturity and issuer mix (N-PORT).
| Fund | Avg. maturity | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| TLTI this fund | 27.1 yrs | 0.58% | $15.5M | -5.1% | — |
| BBLB JPMorgan BetaBuilders U.S. Treasury Bond 20… | 26 yrs | 0.04% | $33.7M | -6.7% | +3.3% |
| TLT iShares 20+ Year Treasury Bond ETF | 26 yrs | 0.15% | $47.05B | -5.3% | +2.1% |
| EDV Vanguard Extended Duration Treasury ETF | 24.4 yrs | 0.05% | $4.13B | -11.8% | +2.0% |
| VGLT Vanguard Long-Term Treasury ETF | 21.7 yrs | 0.03% | $15.13B | -4.4% | +4.2% |
| SPTL SPDR Portfolio Long Term Treasury ETF | 21.8 yrs | 0.03% | $10.47B | -6.0% | +3.9% |
| SCHQ Schwab Long-Term U.S. Treasury ETF | 21.8 yrs | 0.03% | $759.0M | -5.8% | +4.0% |
| IEF iShares 7-10 Year Treasury Bond ETF | 8.4 yrs | 0.15% | $41.82B | -1.7% | +4.0% |
Questions investors ask
Does TLTI pay monthly dividends?
Yes. TLTI pays distributions every month, in line with its stated goal of monthly income. Over the 12 months to October 27, 2026, it paid $2.75 per share, a trailing yield of 6.37%. The cash comes from interest on its long-term Treasury bonds plus income from its S&P 500 put-option strategy. Options income can rise or fall with stock markets, so past payouts don't guarantee future ones.
What's the difference between TLTI and TLT?
TLTI adds an S&P 500 put-option strategy on top of long-term Treasuries, while TLT is a plain Treasury fund with similar maturities. That extra layer adds income potential but also stock-market risk. TLTI charges 0.58% a year versus 0.15% for TLT. TLT held about $47.0 billion as of August 31, 2026, against about $15.5 million for TLTI as of June 30, 2026. One-year returns were -5.1% for TLTI through October 27, 2026, and -5.4% for TLT through October 30, 2026.
Is TLTI good for retirement income?
It can supply monthly income, but with more risk than a plain Treasury fund. Its trailing yield was 6.37% as of October 27, 2026. Yet it fell about 11% from February 27 to October 5, 2026, and had not recovered by October 27. It is exposed to both rising interest rates and sharp stock declines. It launched only in December 2024, and it charges 0.58% a year, well above the 0.07% average for similar funds.
What happens to TLTI when interest rates rise?
Its price usually falls. Bond prices move opposite to interest rates, and long-term bonds react the most. TLTI's average duration normally runs 20 to 30 years, so a one-percentage-point rise in rates could cut the value of its bonds by roughly 20% to 30%. As of June 30, 2026, its bonds averaged 27.1 years to maturity. The options income adds to returns but doesn't remove this interest-rate risk.
Is TLTI tax efficient?
It is built to be, mainly through its options. TLTI's S&P 500 index options qualify as Section 1256 contracts, so their gains and losses are taxed as 60% long-term and 40% short-term, however long they were held. Open contracts are treated as sold at year end. The fund may also book losses to offset taxable gains, known as tax-loss harvesting. That treatment covers the options, not the interest from its Treasury bonds.