KNG: Efficient Dividend Fund But Underperforms Peers (Rating Downgrade)

FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF (KNG) is downgraded to hold due to persistent underperformance versus dynamic option-writing peers. KNG's ATM option strategy caps upside, limiting participation in bull markets and resulting in a 1.13% total return loss over the past year. The fund's high 8.7% yield is attractive, but monthly payouts are variable and lack consistent growth despite tax-efficient return of capital distributions.

Seeking Alpha • Dec 4, 2025

KNG: Dividend Aristocrats Are Struggling, Consider Other Dividend Strategies

FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF has underperformed, with negative price returns and lagging total returns versus the S&P 500. KNG's portfolio is heavily weighted in defensive, industrial, and mid-cap stocks, which have struggled amid tech-driven market rallies and higher interest rates. The ETF's high expense ratio, poor price performance, and limited tech exposure contribute to its weak quant ratings.

Seeking Alpha • Sep 19, 2025

KNG: I Like Dividend Aristocrats But Not This Fund

Dividend Aristocrats are attractive for defensive investing, especially in a potential recession scenario. This ETF combines Dividend Aristocrats with a covered call strategy. This sounds appealing but has not produced alpha to-date.

Seeking Alpha • Jul 6, 2025

KNG: A Great Yield From Great Companies

KNG offers exposure to S&P 500 Dividend Aristocrats, providing a portfolio of steady, reliable, and defensive companies for income-focused investors. The ETF enhances yield through a covered call options strategy, boosting the dividend yield to 9.2% while capping some capital gains. Compared to NOBL, KNG sacrifices a small portion of total return for much higher income, making it ideal for those prioritizing yield.

Seeking Alpha • Jun 23, 2025

KNG Potentially Safer Than JEPI

I have been a strong advocate for the JPMorgan Equity Premium Income ETF, emphasizing its potential benefits for retail investors. Another ETF that promises a similar strategy and has delivered great results is now vying for JEPI's spot in my portfolio. The FT Vest S&P 500 Dividend Aristocrats Target Income ETF appears as a potentially safer alternative, with tax efficiencies, conservative holdings, and a different options strategy.

Seeking Alpha • Apr 16, 2025

Got $2,000? These High-Yield ETFs Could Turn Into Passive Income Superstars

Investors seeking income with diversification to offset risk can find some attractive prospects within the ETF arena.

24/7 Wall Street • Apr 10, 2025

KNG: A Defensive Covered Call ETF To Navigate Market Uncertainty (Rating Upgrade)

Market volatility necessitates exposure to defensive ETFs like FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF for resilience and reliable dividend income. KNG has a generous 9% starting dividend yield, with distributions paid monthly. The dividend is supported by an ATM option strategy. Despite a modest 4.5% price decline, KNG's price stability and income generation make it a buy in the current market environment of uncertainty.

Seeking Alpha • Mar 23, 2025

KNG: Uncompelling Buy-Write ETF

FT Cboe Vest S&P 500® Dividend Aristocrats Target Income ETF magnifies income via covered call options on Dividend Aristocrats stocks. KNG has a much higher yield than the same portfolio without options, but a lower total return. KNG has outperformed other S&P 500 buy-write ETFs since 2018, but it has been lagging for 4 years, especially in the fourth quarter of 2024.

Seeking Alpha • Jan 4, 2025

KNG: Why Higher Implied Volatility Might Be Bullish (Rating Upgrade)

Volatility has increased ahead of the U.S. election, with the VIX rising and a slew of economic data and earnings reports expected. KNG ETF offers high option-selling premiums and a strong yield, benefiting from the current high-volatility environment and potential year-end strength. Despite underperforming the S&P 500, KNG has grown significantly in assets and offers a diversified portfolio with a focus on dividend aristocrats.

Seeking Alpha • Oct 8, 2024

4 ETFs Yielding 7% or More & Outperforming S&P 500

These ETFs yield 7% or more and outperformed the S&P 500 over the past one month.

Zacks Investment Research • Sep 27, 2024