A head-to-head comparison of ProShares Russell 2000 High Income ETF and NEOS Russell 2000 High Income ETF covering yield, cost, risk, and income potential.
Projections assume the current yield and share price remain constant. Actual results will vary.
Total returns
100% reinvested · ex-date convention. Period returns use this fixed assumption, independent of chart settings. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year.
ITWO has outpaced IWMI over the trailing twelve months, posting a 18.90% total return against 17.26%. Measured from Sep 2024 — the start of shared available history — ITWO has compounded at 15.63% a year versus 15.56% for IWMI. Figures are total returns: price change plus every distribution reinvested.
Total return and risk statistics by fund. Each row is one fund; each column is one period or statistic.
Total return with all distributions reinvested on the ex-dividend date (a modeling convention, not the cash-settlement date), split-adjusted, as of October 2, 2026. YTD and 1Y are cumulative period returns; 3Y, 5Y, and 10Y are annualized. The shared Since-start window is annualized only when it covers at least one year. “Since Sep 2024” measures every fund from September 5, 2024 — the start of shared available history — so all funds share one comparison window. Volatility is the annualized standard deviation of daily total returns over the past year. Sharpe and Sortino divide the annualized return in excess of the risk-free rate by, respectively, that volatility and the downside deviation (both over the past year) — higher is better. Max drawdown is the largest peak-to-trough total-return decline over the same window — shallower is better.
Distribution rate and SEC yield
Metric
ITWO
IWMI
Forward distribution rate
6.29%
14.73%
Trailing 12-month yield
7.46%
14.67%
30-day SEC yield
0.97%
0.52%
Total return (price change plus reinvested distributions) is the Total returns section above. A 30-day SEC yield can sit far from the headline distribution rate; both numbers are the fund's own published fields.
IWMI is built to crank out high monthly income while staying tax-efficient. The fund invests in Russell 2000 stocks and layers on a data-driven call option strategy. That combo gives it steady cash flow and a chance to grab some upside if the Russell 2000 rallies. For tax perks, it uses section 1256 index options (with the sweet 60/40 long-term vs short-term split) and fund managers may also harvest losses to soften the tax bite.
Quick summary:
* Goal: High monthly income + equity growth potential
* Method: Russell 2000 holdings + call option overlay
* Upside: Participates when RUT rises
* Tax angle: 60/40 capital gains treatment + loss harvesting
Bottom lineChoose ITWO if you want broad equity exposure. Choose IWMI if you want to maximize current income — roughly 14.73%, generated by selling options premium. ITWO and IWMI both use option or derivative overlays. Their tradeoff is the underlying exposure, how each option strategy is implemented, and the yield each targets; either overlay can limit upside participation, so neither offers uncapped price exposure.
How the risk works
Read this before the income numbers below: the strategy mechanics on this page shape what those payouts can cost you.
Capped upside and premium dependence. IWMI generates income by selling options, which trades away part of a strong rally in exchange for premium. Distributions can include return of capital, and a payout the underlying assets cannot sustain shows up as NAV erosion over time — the big yield number is not free.
ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.
ProShares is known for offering leveraged and inverse ETFs that provide amplified exposure to market movements, along with thematic and income-focused strategies. Their fund lineup spans digital assets (including Bitcoin and Ethereum exposure through BITO and EETH), dividend strategies like the Dividend Aristocrats fund (NOBL), covered call income strategies, and leveraged/inverse products that track major indices with 2x or 3x daily multipliers (such as SSO and TQQQ for tech-heavy portfolios). With 23 ETFs across specialized families including leveraged products, money market funds, and sector-specific offerings, ProShares serves investors seeking both traditional income and alternative exposure strategies.
See our curated list of related YouTube videos on ITWO.
ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.
NEOS is known for developing specialized income-focused ETFs that employ strategies like covered calls, hedging, and enhanced yields across various asset classes. The firm manages 19 funds organized into nine distinct families, including offerings in equity high income, fixed income enhancement, digital assets, and alternative strategies, with popular tickers like SPYI (S&P 500 covered call), QQQI (Nasdaq-100 covered call), and QQQH (Nasdaq-100 hedged equity income). NEOS distinguishes itself in the ETF landscape through its emphasis on income generation and downside protection strategies rather than traditional growth approaches.
See our curated list of related YouTube videos on IWMI.
ITWO (ProShares Russell 2000 High Income ETF) and IWMI (NEOS Russell 2000 High Income ETF) are both monthly-pay dividend ETFs, but they take different approaches.
IWMI offers the higher yield at 14.73% vs 6.29% for ITWO. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.
ITWO is cheaper with an expense ratio of 0.55% compared to 0.68%.
IWMI is the larger fund by assets ($1.29B), but assets alone do not establish trading costs or liquidity.
Who should choose each?
Choose ITWO
ProShares Russell 2000 High Income ETF
Want broad equity exposure.
Want to keep costs low — a 0.55% expense ratio vs 0.68% for IWMI.
Choose IWMI
NEOS Russell 2000 High Income ETF
Want to maximize current income — IWMI distributes roughly 14.73% from selling options premium, vs 6.29% for ITWO.
Are comfortable with an options-income strategy — a large payout in exchange for capped upside.
Prefer lower volatility — a beta of 1.1 vs 1.3 for ITWO.
Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.
Still deciding? Track ITWO & IWMI for free
Create a free Dividend Vision account to keep them on a watchlist, get notified when they declare dividends, and see how much income they would add to your portfolio.
On a $10,000 investment, ITWO would generate roughly $52.42 cash per distribution, while IWMI would produce $122.75 cash per distribution, at current distribution rates. Both pay monthly distributions.
ITWO yield6.29%
IWMI yield14.73%
Cash diff on $10K$70.33
Cost & efficiency
Over 10 years on $10,000, ITWO would cost approximately $550 in fees vs $680 for IWMI (simplified, not compounded). The $130.00 difference may be offset by yield or performance.
ITWO ER0.55%
IWMI ER0.68%
Strategy & risk
Both ITWO and IWMI wrap Russell 2000 Index with options-based income overlays (covered call income and options). The practical differences are yield target, fee structure, and issuer track record — not the underlying mechanic. Beta is 1.2758 for ITWO and 1.0582 for IWMI, making IWMI the less volatile of the two by this measure.
ITWO beta1.2758
IWMI beta1.0582
Fund details
ITWO is managed by ProShares (launched 01/23/2025) with $186M in assets. IWMI is managed by NEOS (launched 06/24/2024) with $1.29B in assets.
Do us a favor — if you found this comparison useful, please share it with a friend researching dividend ETFs.
Frequently asked questions
What is the current distribution rate for ITWO and IWMI?
ITWO currently distributes 6.29% and IWMI 14.73%, based on fund data updated October 2026. Distribution rate moves with both the payout and the share price, so check the as-of date before relying on either figure.
Is ITWO or IWMI better for dividend income?
It depends on your goals. IWMI currently offers the higher distribution yield, which means more income per dollar invested. However, a lower-yield fund may offer better total return or lower volatility. Consider your time horizon and risk tolerance.
What is the difference between ITWO and IWMI?
Both ITWO (ProShares Russell 2000 High Income ETF) and IWMI (NEOS Russell 2000 High Income ETF) track Russell 2000 Index with options-based income strategies — the labels "covered call income" and "options" describe closely related mechanics (covered calls are a specific type of options strategy). The real differences show up in yield target (6.29% vs 14.73%), expense ratio (0.55% vs 0.68%), and issuer (ProShares vs NEOS).
Can I hold both ITWO and IWMI?
You can, but expect significant overlap. Both funds use options-based income strategies on Russell 2000 Index, so holding them together gives you two wrappers around effectively the same exposure — not true diversification. Weigh issuer, fee, and yield differences rather than treating them as complementary.
Is ITWO or IWMI safer?
By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — IWMI scores 84, ITWO scores 71, so IWMI's payout currently looks the more resilient of the two. IWMI has also shown lower price volatility (beta 1.06 vs 1.28 for ITWO). No score makes an investment risk-free — treat this as a screening signal, not a guarantee, and the leverage, options-income, or crypto caveats flagged on this page apply regardless of score.
Which has lower fees, ITWO or IWMI?
ITWO has an expense ratio of 0.55% while IWMI charges 0.68%. Lower fees mean more of your investment returns stay in your pocket over time.
How much income does $10,000 in ITWO vs IWMI generate?
At current rates, $10,000 in ITWO would generate roughly $52.42 cash per distribution ($629.00 annually). The same in IWMI would produce about $122.75 cash per distribution ($1,473.00 annually).
Which has performed better historically, ITWO or IWMI?
ITWO has outpaced IWMI over the trailing twelve months, posting a 18.90% total return against 17.26%. Measured from Sep 2024 — the start of shared available history — ITWO has compounded at 15.63% a year versus 15.56% for IWMI. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.
Explore related screeners
Lateral filters that include these funds — browse the full peer set on DividendVision.
Still deciding? Compare them against your own portfolio
See how each ETF fits alongside your real holdings — forecast future income, analyze overlap, and gauge risk. Start a free 7-day Dividend Vision trial and make the call with your full portfolio in view.
