Liquid Strategies Files Nasdaq-100 Income ETF Targeting 12% Yield

The Overlay Shares Nasdaq 100 Income ETF combines Nasdaq-100 exposure with an options-based income strategy targeting a 12% annual distribution rate. The actively-managed fund will invest in Nasdaq-100 stocks or related ETFs while generating income through a put-spread overlay that involves selling short-term put options and purchasing lower-strike puts for partial downside protection. Designed to provide relatively stable monthly distributions, the strategy aims to perform in flat, rising, and modestly declining markets. However, the fund warns that losses could exceed option premiums collected during periods of heightened market volatility.