QQQI vs. JEPQ

Two ways to milk the Nasdaq-100 for monthly income — compared with live data, not marketing.

Head to Head, Live

Loading live data for both funds…

Yields are each fund's last 12 months of real payments divided by today's price — computed live, not quoted from a fact sheet.

The Fixed Facts
QQQIJEPQ
Built onNasdaq-100Nasdaq-100
Run byNEOSJPMorgan
Typical yield~14%~9–10%
How the income is madeIndex call options, actively managed and tax-optimizedOptions via equity-linked notes on a conservative stock basket
Payout behaviorSteady band, slightly risingVariable; full-year totals rising so far
Tax characterLargely return of capital — tax deferred in taxable accountsMostly ordinary income
Expense ratio~0.68%~0.35%
Paying since20242022

The Short Answer

QQQI and JEPQ answer the same wish — monthly income from the Nasdaq-100 — with two different philosophies. QQQI is the income maximalist: sell calls hard, wring out a ~14% distribution rate, and use clever tax plumbing so the checks hurt less in April. JEPQ is the balanced play: a conservative tech basket, a lighter option overlay, roughly 9–10% income, and more room to grow when the Nasdaq runs. Neither is "better" — they're tuned for different owners.

Where QQQI's Extra Yield Comes From

Both funds harvest option premiums from the same volatile index, so why does QQQI pay several points more? Coverage. QQQI writes calls against essentially its whole portfolio, converting the maximum amount of future upside into present income. JEPQ's managers sell options against only part of theirs, deliberately leaving growth on the table. More coverage, more premium, more yield — and less participation when tech rips higher. The $50-a-month race above shows how that trade has actually netted out over the funds' shared lifetime, with payouts reinvested.

The Tax Difference Is Real Money

This is the most underrated gap between them. QQQI's distributions are largely classified as return of capital thanks to its index-option structure — in a taxable account that defers tax (the payout lowers your cost basis; you settle up when you sell), which effectively boosts your after-tax yield today. JEPQ's distributions are mostly ordinary income, taxed at your bracket every year. A high earner in a taxable account keeps meaningfully more of QQQI's checks; inside an IRA the difference evaporates. Full plain-English rules in How Are Dividends Taxed? and the ROC mechanics in Return of Capital & NAV Erosion.

Which One Fits You?

Choose QQQI if maximum monthly income is the goal, especially in a taxable account where its tax treatment shines — and you accept a younger fund with a higher fee (~0.68%). Choose JEPQ if you want serious income but still care about your balance growing, and you value JPMorgan's scale and a slightly longer record. Both live on the tech rollercoaster — in a Nasdaq bear market, neither will feel safe. See each fund's complete record on its history page (QQQI · JEPQ), the mechanics in our NEOS/covered-call guide, and the JPMorgan twins head-to-head in JEPI vs. JEPQ.

Model Either Fund With Your Numbers

Take the live yields above into the full calculator — taxes, reinvestment toggles, and the year-by-year snowball chart.

Use the Free Dividend Calculator

More head-to-heads: JEPI vs JEPQ · SPYI vs JEPI · SCHD vs JEPI — or see every fund on the dividend history hub.

Educational content only — not financial advice. Live figures come from a third-party data source and may contain errors or delays. Past payouts and performance do not guarantee future results. Nothing here is a recommendation to buy or sell any security.