Russell 2000 High Income ETF

IWMI
ETF Ticker

+12.66%

+15.76%

Cboe BZX

Alternative

United States

Enhanced Income

The Russell 2000 High Income ETF, IWMI_US, is an actively managed strategy providing exposure to United States, Enhanced Income Alternative. It is listed on the Cboe BZX and has assets under management of $1,230.0m (as of Aug 31, 2026). The ETF trades in USD and was listed on the exchange on Jun 25, 2024. It has a net expense ratio of 68bps. (All data in USD as of Oct 9, 2026 unless stated.)

The investment strategy steering the actively managed Russell 2000 High Income ETF combines small-cap equity exposure with a tax-aware index-options overlay to generate high monthly income with equity appreciation potential. The equity sleeve obtains Russell 2000 exposure by owning one or more ETFs tracking the index and/or a representative basket of its constituents, observing liquidity and diversification standards under the fund’s 80% small-cap policy (measured by notional for derivatives). The income sleeve primarily writes covered call options on the Russell 2000 (RUT) and may employ call spreads to define risk while targeting a net credit; Section 1256 tax treatment (60/40) and active tax-loss harvesting support after-tax efficiency. Portfolio construction sizes option notional and strikes relative to prevailing volatility, drawdown risk, and income targets, managing collateral and counterparty exposure. Rebalancing is frequent and rules-aware, rolling and adjusting options before expiration and recalibrating equity/overlay weights as markets move.

ETF Details

Key Facts

Issuer:
Neos
AUM:
$1,230.0m (as of Aug 31, 2026)
Net Expense Ratio:
68 bps
Inception Date:
Jun 25, 2024
Index:
Actively managed strategy
Dividend Frequency:
Monthly

Trading

Ticker:
IWMI
Exchange:
Cboe BZX
ISIN:
US78433H6348
Trading Currency:
USD
Domicile:
United States

Classification & Risk

Asset Class:
Alternative
Asset Region:
United States
Theme:
Enhanced Income
Economic Development:
Developed Markets
1 Year Volatility:
15.08%
3 Year Volatility:
N/A
5 Year Volatility:
N/A

Performance

TTM Dividend Yield:
14.78% (verify with issuer)
1 Month Performance:
-3.16%
3 Month Performance:
-4.11%
6 Month Performance:
6.77%
1 Year Performance:
15.76%
3 Year Performance:
N/A
5 Year Performance:
N/A
Investment Proposition

NEOS Russell 2000 High Income ETF (IWMI) offers a small-cap equity income strategy that seeks high monthly distributions with maintained equity participation. The fund holds diversified U.S. small-cap exposure and overlays an actively managed option program using index options to harvest implied volatility while dynamically calibrating moneyness and tenor for balance between income and upside. The philosophy emphasizes tax efficiency through option treatment and disciplined loss-harvesting in the overlay, aiming to enhance after-tax outcomes without relying on individual stock dividends. Investors should expect equity-like risk with partial upside participation and dampened extremes when volatility is elevated; in strong, low-volatility melt-ups the overlay may trail pure beta. Potential roles include an income-oriented satellite within an equity sleeve, a factor-completion tool to reintroduce small-cap exposure with distribution support, or a tactical overlay for clients substituting some dividend-stock risk. Appropriate users include income-focused advisors pursuing equity-based payouts and allocators seeking diversified sources of cash flow alongside bonds. Regimes with wider option premia and range-bound markets can be favorable; sharp, persistent rallies can be more challenging. A fund-specific risk to monitor is option-overlay effectiveness, as strategy design and execution materially affect outcomes.

ETF Analytics

Fund Discovery

4 Suggestions