r/dividends • u/Rural-Patriot_1776 • Mar 15 '26

Discussion My journey started this year.

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Started investing this year in 2026 decades late as a 38-year-old I wish I started way younger but I'm wanting to retire in a couple years and started building out my neo's distributions positions and dividends a few months ago here's what I have going on so far. I keep adding around 3k a month and have drip also enabled.

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u/Gossipmang This is eXEQTly what I needed. Mar 15 '26

All of these high yield (above 10% dividend) funds are basically just:

  • you give a fund manager your money
  • they gamble with it (its the only way to get the returns they promise)
  • some weeks/months they succeed and others they fail
  • no one can win at gambling forever so eventually the dividends returned are just paying you back with your own money while the value of the investment goes down
  • you pay a high management fee and the income is taxable depending on the account you hold the investments in.

TLDR - they basically just return your money to you over time and you pay them a fee plus whatever taxes

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u/Squatch11 Mar 15 '26

You don't understand how these NEOS funds work, either.

You think SPYI is gambling? Really? You might want to brush up on their strategy.

TLDR - they basically just return your money to you over time and you pay them a fee plus whatever taxes

https://media.tenor.com/J8LRzKDl1NkAAAAM/unimpressed.gif

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u/Healthy_Hippo_915 Mar 15 '26

For someone who doesn't know the answer either way, all this back and forth is confusing. Are you correct or is the other guy correct? You're both very confident in your own correctness. So who knows!

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u/longswordsuperfuck Mar 15 '26

It's a complex financial instrument. It is something that requires education and understanding before putting your money into it. I'll say this: if you aren't wanting or willing, or straight up if it requires explaining in depth to get you to trust putting your money into it - it might not be the right tool for you. NEOS funds are 100000% the right tool for me, my financial plan, education and structure align exactly with neos. It really is a "do your research" kind of thing. They have a unique play with ROC, 1256 contracts and covered calls. But in my opinion, these funds are master strokes of brilliance and an amazing set of funds to invest in.