Eligible shareholders of the YieldMax SMCI Option Income Strategy ETF (SMCY) face a 9.7% weekly distribution reduction, with the next payment set at $0.0456 per share.
YieldMax’s distribution history lists $0.0505 as the previous amount. Nov. 5 set the record date, and SMCY shares went ex-dividend that day. YieldMax’s schedule lists Nov. 6 as the payment date.
YieldMax reported a 60.02% distribution rate for SMCY at the Nov. 3 close and a 3.14% 30-day SEC yield for the period ending Oct. 31. The distribution rate expresses the latest payment as an annualized amount relative to the fund’s net asset value (NAV); it describes neither investment performance nor a promise of future payments. The SEC yield excludes option income.
SMCY uses call spreads linked to Super Micro Computer Inc. (SMCI) to seek weekly income and does not invest directly in its shares. The structure can mean the fund captures only part of a rally in SMCI, while a decline in the stock may reduce SMCY’s value. YieldMax says, “Distributions are not guaranteed.”
