NEOS MSCI EAFE High Income ETF

The NEOS MSCI EAFE High Income ETF is an actively managed exchange-traded fund designed to generate high monthly income with a focus on tax efficiency and the potential for long-term equity appreciation. Its primary function is to provide investors with exposure to developed international markets outside of North America, as represented by the MSCI EAFE universe, while deploying an options-based strategy—specifically, option writing—to enhance income generation. The fund holds a diversified basket of international equities, predominantly through a position in a core MSCI EAFE ETF, and supplements this by writing options on relevant equity indexes to create additional cash flow. This structure aims to offer lower correlation to traditional market risk factors such as credit and interest rate risk, appealing to investors seeking income streams that are less sensitive to macroeconomic fluctuations. A notable feature of the NEOS MSCI EAFE High Income ETF is its emphasis on tax-efficient distributions, which may include a return of capital component through option premiums, dividends, capital gains, and interest payments. This makes the fund well-suited for investors who seek regular income from international equities, particularly in tax-sensitive portfolios.