What this ETF is trying to do

XOMO, the YIELDMAX(R) XOM OPTION INCOME STRATEGY ETF, is designed to use an "option income strategy." This means instead of just buying stocks and waiting for them to go up, the fund uses financial tools called options to try to create regular cash payments for investors. A major characteristic of this ETF is its very high distribution yield, which was 38.65% as of the latest data.

What the numbers show

It is important to understand that there are two different ways to look at how this ETF performs: price return and total return.

• Price Return: This only tracks the change in the share price. For XOMO, the share price has been going down. The one-year price return was -11.40%, and the three-year price return was -45.85%.

• Total Return: This includes both the share price changes AND the cash distributions paid to investors. Even though the share price fell, the total return was positive. The one-year total return was 25.78%, and the three-year total return was 25.71%.

To see the difference, imagine you had $10,000 invested in this ETF roughly one year ago based on the estimated price of $12.19. Because of the share-price decline, your shares would only be worth about $8,860 today. However, if you include all the cash payments you received, your total value would be approximately $12,578.

Income and distribution explanation

XOMO is known for providing very frequent income. Over the last 12 months, it had a payout count of 50, which is described as "weekly-like" frequency. The trailing distributions over the last year were $4.17 per share.

While a 38.65% distribution yield sounds very high, investors should remember that a high yield does not guarantee that your total investment will grow. High distributions are often paid out while the share price is simultaneously falling.

NAV erosion explanation

Some investors worry about "NAV erosion." NAV (Net Asset Value) is the actual value of the assets held by the fund.

The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion. We can see evidence of price erosion, which is when the market price of the shares drops. The fund has an erosion-risk score of 75, which is labeled as "mild price erosion."

Top Holdings

As of the latest update on October 10, 2026, the fund's reported holdings include:

• FIRST AMERICAN GOVERNMENT OBLIGS X (FGXXX): 0.21%

Pros

• High Cash Flow: The ETF provides very frequent, "weekly-like" distributions.

• Positive Total Returns: Despite falling share prices, the total return (including cash) has been positive over the one-year and three-year periods.

Cons

• Share-Price Decline: The actual price of a single share has dropped significantly over the last three years.

• High Risk Profile: The fund shows signs of mild price erosion.

Beginner takeaway

XOMO is an ETF that focuses on generating high amounts of cash through options. If you look only at the share price, it looks like the investment is losing value. However, if you look at the total return, the cash payments help offset those losses. Investors should be aware that while the income is frequent, the share price itself has a history of declining.