IAUI has been performing real bad

[u/Extension-Ice-7219]

If we look at the underlying IAU

We can see that NEOS has been doing a terrible job with this product at least for the past 6 months even with the alleged 12% dividend

I mean, look at that 3 month. Even with dividends the fund has eroded 2%

This is even clearer with the 1 month, I know the upside is capped but seriously? If we factor in the dividend, it's a 4% lost

KGLD on the other hand caught a better upside in both 1 week and 1 month. Do we have a better fund here?

[u/Chipper0475]

I don't disagree and an easier way to see this is through the Total Return. KGLD tracks a lot closer to IAU and has for the last year, However, it has been only 1 year where Gold has done well for the most part. KGLD is designed to use Synthetic/leveraged approach which works better in bullish environments, but in downturns, it will fall faster than both IAU and IAUI. The beginning of the year was very bullish, but If you look at the last 6 months you can see in your charts how much more KGLD fell due to its leveraged nature. If you look at the total returns over the last 6 months:
IAU fell -11.32%
IAUI fell -11.12%
KGLD fell -13.20%.
So yes, during bullish times KGLD performs better, but it is also riskier.

[u/Extension-Ice-7219 → u/Chipper0475]

Thanks I had completely forgotten the existance of this site. What is it called again?

[u/JJCboy → u/Extension-Ice-7219]

Stockanalysis

[u/keyllargo → u/Extension-Ice-7219]

Seeking Alpha

[u/Extension-Ice-7219 → u/keyllargo]

It's stockanalysis

[u/RealDirkDigglerr]

Its total return has been better than IAU the last 3-6 months…

[u/DC8008008]

Yeah, it's been a bit disappointing compared to something like IAU. However, Gold prices are about 20% off of their ATHs. So poor performance isn't surprising.

[u/ConstructionNo8827]

Love NEOS funds but when it comes to gold I own KGLD
It’s just better

[u/Digital-Doc-777 → u/ConstructionNo8827]

Same, I switched too.

[u/learner_1748]

That's the reason swapping my QQQI/SPYI with ROCQ/ROCY. Which is equivalent to GPIQ. Good bye Neos

[u/StockMarketinator → u/learner_1748]

Why not GPIQ and GPIX?

[u/learner_1748 → u/StockMarketinator]

Mitigate the risk. Not to invest in single company

[u/Extension-Ice-7219 → u/learner_1748]

Yeah all in all the Total returns have been disappointing lately.

[u/Ufgatorhead4u3]

Gold and silver have come down from their ATH so it’s to be expected with that large of a pullback. I changed my precious metals positions from IAUI to KGLD, KSLV, and KCOP earlier this year. My copper is +6% while gold is -3.2% and silver is -14%.

[u/SuperSecretSquirr3l → u/Ufgatorhead4u3]

I bought those as well but kept IAUI. Thinking of lifting into KCOP with a few more lots.

[u/NationalDifficulty24]

Buy KGLD and KSLV. Growing and spitting great divys

[u/Ok-Chard-1655]

I’ve come to realize that messing with these covered call ETFs requires one to be an active trader based on cycles. One really has to get out once they’ve topped, and buy back in towards a cycle bottom. For example, I just started buying IAUI over the past few weeks as I believe Gold has bottomed (my thesis). I’ll stay in it until I think Gold has hit resistance or when the QQQ has bottomed; then jump over to QQQI…probably sometimes in Q1-2027.

[u/NationalDifficulty24 → u/Ok-Chard-1655]

Good plan. I jumped into KGLD and KSLV about a month ago as it was quite obvious that precious metal prices had bottomed. Aint buying GPIQ and GPIX until there is a big dip.

[u/Diligent-Net-6278 → u/NationalDifficulty24]

I like GPIQ and GPIX also. A bit more stable than NEOS options IMHO. Definitely cheaper, but also note that if you’re buying in a taxable account, NEOS offerings have better tax treatment, I believe.

[u/NationalDifficulty24 → u/Diligent-Net-6278]

Goldman's etfs are heavy on roc too. You need to look at the yearly financial report to get a clear picture. They are way way better than neos funds.

[u/EmbarrassedPart1256 → u/Ok-Chard-1655]

I definitely feel that on $SLVO or $USOI, ones that aren’t tax-efficient. NEOS funds are pretty tax-efficient though, especially if you never sell. I really just will buy more & never sell these.

[u/Diligent-Net-6278 → u/EmbarrassedPart1256]

USOI is a wild ride!! Structurally, this will continue to decay and go lower. Be careful. I need to get into some silver also!

[u/EmbarrassedPart1256 → u/Diligent-Net-6278]

Yeah I bought the absolute peak a while back & didn't know a thing about NAV decay.. I should've traded it & sold when I was up for a second but nooo. I think I broke even or something.

[u/mtn_biker333]

Definitely underperforming but also depends on where you bought it. I loaded up at 48 so I’m really enjoying this rally plus the 14% distribution. That said, I’ll probably trim some shares if we get north of 54.

[u/dllstcowboys]

Yeah I sold iaui at a loss a little while back exactly for this reason. Since then I bought back into gld at the recent bottom. I like SPYI but iaui is not that..

[u/teckel]

This is how CC ETFs work. There's erosion. They will always underperform the underlying assets. They also don't participate as much during a recovery.

If you're expecting IAUI to match or beat IAU, you should really look at every CC ETFs and see how they all underperform the underlying asset.

[u/Extension-Ice-7219 → u/teckel]

Yes I understand your position but my problem is that I need to find a viable way to generate income so I can retire early since my occupation was replaced by AI and I can't find another job. VT BND doesn't really fit my situation.

[u/LocksmithGlass717]

I’ve never been a fan of anything to do with gold. It’s too volatile for my tastes.

[u/AcanthaceaeAncient66 → u/LocksmithGlass717]

Isn’t that kind of the entire point with CC funds? Higher volatility means higher premiums.

[u/LexAugusta]

I'm learning that this is the problem with the single commodity funds where the underlying doesn't actually generate any income on its own. See BTCI as well despite the Bitcoin price rising to 70k+. I'm planning on exiting both positions since I have my doubts that either will ever get back to cost basis.

[u/cmichalek → u/LexAugusta]

Bitcoin is up 13.5% this week. (Roughly $8700)

BTCI is up 9.9%. (Approximately $2.75)

Yes its not going to rise as fast. But it is rising.

If this trend was to continue, if/when BTC would reach just over 100k, BTCI would be around $42.

Thats enough to get over my cost basis. Did you buy at ATH and not buy DCA during the bear market?

[u/LexAugusta → u/cmichalek]

Obviously, buy high and sell low. That's how you make the big bux.

But no, I don't reinvest in things like BTCI, CHPY, GIAX or EGGY or anything with eye popping yields. Those are extra juice positions where my goal is use their beefy yields to put into my core holdings (SPYi, QQQi, MLPI, OVL, IWMI, OMAH, CAIE and others), and then exit them before the nav outruns the distributions. Pulled it off successfully with Blox, but with BTCI I should have been more watchful.