Why does QYLD's NAV decline over time?

QYLD writes at-the-money calls on 100% of its portfolio. In rising markets, calls are exercised — QYLD captures none of the upside but suffers all the downside in declines. The mathematical result is gradual NAV decay despite high distributions.

Is JEPQ a better long-term hold than QYLD?

Yes, by a wide margin. JEPQ has produced ~3x the total returns of QYLD over the past 3 years while still paying a high monthly yield. JEPQ's structure preserves equity upside; QYLD's does not.

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ETF Comparison

JEPQ vs QYLD: Two Nasdaq Covered Call Strategies

JPMorgan's JEPQ uses active equity selection + ELN call writing; Global X's QYLD writes systematic at-the-money calls on the Nasdaq-100 index. Compare yield, returns, and methodology.

Data as of April 27, 2026

JEPQ

JPMorgan Nasdaq Equity Premium Income ETF

J.P. Morgan

Covered Call

Price

$58.99

Yield (TTM)

11.11%

QYLD

Global X NASDAQ 100 Covered Call ETF

Global X

Covered Call

Price

$17.89

Yield (TTM)

12.17%

Quick Comparison Summary

JEPQ vs QYLD: compare dividend yield (11.1% vs 12.2%), expense ratio (0.35% vs 0.60%), holdings, returns, and our verdict for dividend investors.

Side-by-Side Metrics

Metric	JEPQ	QYLD
Issuer	J.P. Morgan	Global X
Inception	2022-05-03	2013-12-11
Category	Covered Call	Covered Call
Price	$58.99	$17.89
NAV	$58.98	$17.89
Dividend Yield (TTM)	11.11%	12.17%
Expense Ratio	0.35%	0.60%
Distribution Frequency	Monthly	Monthly
AUM	$36.9B	$8.3B

Total Returns

3Y and 5Y figures are annualized. A 0% value indicates the fund had not been listed for the full period.

Holdings & Sector Exposure

JEPQ

Top 5 / 5 shown

MSFT
Microsoft
8.12%
AAPL
Apple
7.45%
NVDA
NVIDIA
6.98%
AMZN
Amazon
5.32%
META
Meta Platforms
4.18%

Sector Weights

Information Tech48.2%
Communication15.8%
Consumer Disc.14.4%
Health Care7.2%
Industrials4.8%
Consumer Staples4.2%

QYLD

Top 5 / 5 shown

MSFT
Microsoft
8.92%
AAPL
Apple
8.40%
NVDA
NVIDIA
7.82%
AMZN
Amazon
5.16%
META
Meta Platforms
4.60%

Sector Weights

Information Tech51.0%
Communication16.0%
Consumer Disc.13.5%
Health Care6.8%
Consumer Staples4.2%
Industrials4.1%

Pros & Cons

JEPQPros

Higher total returns than QYLD
Active stock selection adds alpha
Lower 0.35% expense ratio
NAV has grown since inception

QYLDPros

Highest yield in the Nasdaq covered-call category
Long track record (since 2013)
Predictable monthly distribution

JEPQCons

Lower headline yield (~11.1% vs ~12.2%)
Shorter track record (launched 2022)

QYLDCons

NAV erodes over time (capped upside, full downside)
Worst total returns of any Nasdaq covered-call ETF
Higher 0.60% expense ratio

The Verdict

QYLD pays a higher headline yield but JEPQ produces dramatically better total returns. QYLD writes at-the-money calls on 100% of its portfolio every month, capping all upside. JEPQ uses out-of-the-money ELNs on a portion of its portfolio while actively selecting Nasdaq-100 stocks. Result: QYLD's NAV erodes over time; JEPQ has consistently grown NAV while still paying high yield.

Best for

JEPQ

Income investors who want high yield without sacrificing all equity upside

Best for

QYLD

Investors who want maximum monthly income and accept NAV decay as the cost

Strategy Summary

JEPQ

Actively managed Nasdaq-100 equity portfolio combined with equity-linked notes that simulate written Nasdaq-100 covered calls, producing monthly option premium income with concentrated tech exposure.

QYLD

Buys the Nasdaq-100 and writes at-the-money index call options each month. Caps upside in exchange for high monthly premium income — a pure income-maximization strategy.

Frequently Asked Questions

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Disclaimer: This page is for educational purposes only and is not financial, investment, or tax advice. ETF data is sourced from issuer fact sheets and may be slightly out of date. Past performance is not indicative of future results. Always consult a qualified advisor before making investment decisions.