YieldMax MSTR Option Income Strategy ETF

The fund is an actively managed ETF that seeks current income while maintaining the opportunity for exposure to the share price of the common stock of MicroStrategy Incorporated, subject to a limit on potential investment gains. It will seek to employ its investment strategy as it relates to MSTR regardless of whether there are periods of adverse market, economic, or other conditions and will not seek to take temporary defensive positions during such periods. The fund is non-diversified.

These leveraged ETFs returned more than 25% last week against the broader market return of 1.6%.

5 Leveraged ETFs of Last Week That Gained More Than 25%

I recommended YieldMax MSTR Option Income Strategy ETF (MSTY) for diversified income source and potential Bitcoin exposure, especially with expected tailwinds in 2025. MSTY is an actively managed option income ETF that generates monthly income by selling call options on MSTR, aiming for high yields and capped price gains. Despite Bitcoin's volatility, MSTY offers a strategic way to gain exposure while generating substantial income, making it a valuable addition to a diversified portfolio.

MSTY: Profit From Bullish Bitcoin Trend

Bitcoin's volatility presents an opportunity to maximize gains, particularly with the YieldMax MSTR Option Income Strategy ETF (MSTY). MSTY's call-option-selling strategy generates strong distributions, especially with MicroStrategy Inc.'s (MSTR) high implied volatility, making it an excellent vehicle for variable monthly income. The fund's recent near-doubling of AUM, with a forward yield potentially reaching 130% amid ongoing market volatility.

MSTY: Leverage The Volatility As BTC-USD Prepares To Breach $100k, Upgrading To Buy

A 45% forward dividend yield is not “free money.” Income strategy or trading as well, caution is required. MSTY employs covered call and credit call spread strategies, which can limit gains in bullish markets and incur losses in bearish markets. MSTY may perform well in a sideways market or a slight downtrend of MSTR.

MSTY: Two Strategies, One ETF, Effective Only In A Sideways Trend

MSTY carried a tremendous distribution rate of 197.8%, and a total return since inception of 157%. Despite this return, it has still underperformed MSTR, its underlying. However, MSTY may have a place in a portfolio because of its exposure to BTC and volatility-harvesting through the synthetic covered call strategy.

YieldMax MSTR Option Income Strategy ETFMSTY

YieldMax MSTR Option Income Strategy ETF
MSTY