BALQ: iShares Nasdaq Premium Income Active ETF
ETF Education Report: iShares Nasdaq Premium Income Active ETF (BALQ)
What this ETF is trying to do
The iShares Nasdaq Premium Income Active ETF (ticker: BALQ) is an exchange-traded fund that focuses on generating income. It is categorized as an "option income" ETF. This means it uses specific financial strategies to try and create cash payments for investors.
What the numbers show
As of October 2, 2026, the current price of one share is $57.73. When looking at how the fund has performed so far this year (Year-to-Date), there are two different numbers to understand:
• YTD Price Return: This is approximately 17.05%. This number only tracks how much the share price itself has moved up.
• YTD Total Return: This is approximately 26.61%. This number is higher because it includes both the share price increase and the extra value from cash distributions.
Please note that data for one-year or three-year returns was not supplied.
Income and distribution explanation
This ETF is designed to pay out cash to investors. The distribution yield is approximately 8.04%. This represents the amount of cash distributed relative to the ETF's price.
The fund usually pays out money monthly, and it has made 10 payments over the last 12 months. It is important to remember that a high distribution yield is not the same as total return. While these payments provide cash, they do not guarantee that your original investment will stay the same value.
Top Holdings
The following is a partial list of the largest holdings in the fund (as of October 7, 2026). Because this is a partial list, it does not show every company the ETF owns.
• CASH OFFSET: 29.38%
• NVIDIA CORP: 8.46%
• APPLE INC: 7.53%
• MICROSOFT CORP: 6.49%
• MICRON TECHNOLOGY INC: 5.57%
• ADVANCED MICRO DEVICES INC: 4.93%
• AMAZON.COM INC: 4.55%
• META PLATFORMS INC CLASS A: 3.51%
• ALPHABET INC CLASS A: 3.36%
• INTEL CORP: 3.20%
NAV erosion explanation
"NAV erosion" refers to a situation where the actual value of the fund's underlying assets decreases over time. While some investors worry about this when they see high payouts, there is no severe erosion-risk flag for this ETF. The current erosion score is withheld because there is not enough verified price history available to calculate it.
Pros
• The fund has shown a strong YTD total return of approximately 26.61%.
• It provides regular cash distributions (usually monthly).
Cons
• Total return data for longer periods (like one or three years) was not supplied.
• High yields can sometimes be misleading if the share price is not stable.
Beginner takeaway
When looking at an income-focused ETF like BALQ, it is helpful to look at both the price return (how the share price moves) and the total return (which includes the cash paid out). This helps you see the full picture of how the investment is performing.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | CASH OFFSET | n/a | 29.38% |
| 2 | NVIDIA CORP | NVDA | 8.46% |
| 3 | APPLE INC | AAPL | 7.53% |
| 4 | MICROSOFT CORP | MSFT | 6.49% |
| 5 | MICRON TECHNOLOGY INC | MU | 5.57% |
| 6 | ADVANCED MICRO DEVICES INC | AMD | 4.93% |
| 7 | AMAZON.COM INC | AMZN | 4.55% |
| 8 | META PLATFORMS INC CLASS A | META | 3.51% |
| 9 | ALPHABET INC CLASS A | GOOGL | 3.36% |
| 10 | INTEL CORP | INTC | 3.20% |