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ETF Comparison

RYLD vs XYLD: Which Is the Better Pick in 2026?

A head-to-head comparison of Global X Russell 2000 Covered Call ETF and Global X S&P 500 Covered Call ETF covering yield, cost, risk, and income potential.

Updated October 2, 2026

How these figures are calculated: methodology.

Best for

  • RYLDInvestors who want a covered-call overwrite written on the holdings themselves.
  • XYLDInvestors who want index call spreads structured for Section 1256 tax treatment.

Jump to the side-by-side numbers

Visual comparison

Key metrics

Projected income on $10K

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.

RYLD has lagged XYLD over the trailing twelve months, posting a 16.51% total return against 18.06%. The lead holds up over 5 years too: XYLD has compounded at 8.17% a year, against 2.60% for RYLD. XYLD has been the steadier holding, though — annualized volatility of 10.2% against 12.7% for RYLD. 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.
SymbolYTD cumulative1Y cumulative3Y annualized5Y annualizedSince Apr 2019Volatility Sharpe Sortino Max drawdown
RYLD10.57%16.51%9.95%2.60%5.60%12.7%0.390.55-19.0%
XYLD10.90%18.06%14.23%8.17%8.36%10.2%0.871.27-15.5%

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 Apr 2019” measures every fund from April 22, 2019 — 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 trailing 3 years. 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 trailing 3 years) — 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

MetricRYLDXYLD
Forward distribution rate11.35%8.52%
Trailing 12-month yield11.99%10.36%
30-day SEC yield0.60%0.48%

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.

Side-by-side snapshot

Side-by-side snapshot. Each row is one metric; each column is one fund.
MetricRYLDXYLD
Full nameGlobal X Russell 2000 Covered Call ETFGlobal X S&P 500 Covered Call ETF
IssuerGlobal XGlobal X
Underlying indexCboe Russell 2000 BuyWrite IndexCboe S&P 500 BuyWrite Index
Last Close$15.60 as of October 2, 2026$41.73 as of October 2, 2026
Distribution rate11.35%8.52%
Trailing 12-month yield11.99%10.36%
30-day SEC yield0.60%0.48%
Distribution Safety Score™ 7379
Safety-Adjusted Yield 8.29%6.73%
Expense ratio0.60%0.60%
AUM$1.33B$3.40B
Distribution frequencyMonthlyMonthly
ObjectiveSeeks monthly income by tracking an index that holds the Russell 2000 stocks and writes a succession of one-month at-the-money covered call options on the index.Seeks monthly income by tracking the Cboe S&P 500 BuyWrite Index, investing at least 80% of total assets in the index securities or instruments with similar economic characteristics.
Asset classEquityEquity
Inception date04/17/201906/21/2013
Beta0.530.39
Last dividend$0.1475$0.2964
Ex-dividend date09/21/202609/21/2026

Bottom lineChoose RYLD if you want a covered-call overwrite written on the holdings themselves. Choose XYLD if you want index call spreads structured for Section 1256 tax treatment. RYLD and XYLD 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. RYLD and XYLD generate 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.

Learn the mechanics: Return of capital, explained · NAV erosion, explained

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Income calculator

See how much monthly income a hypothetical investment would generate in each ETF at current yields.

Global X
ETFs117
Total AUM$94.9B

ETFs and AUM reflect what Dividend Vision tracks — the issuer's full lineup may be larger.

Global X is known for developing thematic and alternative investment ETFs with a strong emphasis on income-generating strategies. Their 37-fund lineup spans diverse categories including covered call funds, SuperDividend income products, digital assets, commodities, and sector-specific investments, alongside traditional bond and risk-managed income options. Notable tickers like DIV, MLPA, and BCCC reflect their specialization in high-yield and alternative income strategies, positioning them as a provider focused on investors seeking yield-oriented and thematically-driven exposure.

See our curated list of related YouTube videos on RYLD and XYLD.

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Quick verdict

RYLD (Global X Russell 2000 Covered Call ETF) and XYLD (Global X S&P 500 Covered Call ETF) are both monthly-pay dividend ETFs, but they take different approaches.

RYLD offers the higher yield at 11.35% vs 8.52% for XYLD. A higher yield means more current income per dollar invested, though it may come with different risk characteristics.

They have different reference exposures: RYLD is linked to Cboe Russell 2000 BuyWrite Index while XYLD is linked to Cboe S&P 500 BuyWrite Index, which means their performance drivers differ.

XYLD is the larger fund by assets ($3.40B), but assets alone do not establish trading costs or liquidity.

Who should choose each?

Choose RYLD

Global X Russell 2000 Covered Call ETF

  • Want a covered-call overwrite on the stocks the fund holds.
  • Want to maximize current income — RYLD distributes roughly 11.35% from selling options premium, vs 8.52% for XYLD.
  • Are comfortable with an options-income strategy — a large payout in exchange for capped upside.

Choose XYLD

Global X S&P 500 Covered Call ETF

  • Want index call spreads structured for Section 1256 tax treatment.
  • Are comfortable with an options-income strategy — a large payout in exchange for capped upside.

Not sure? Use the income calculator and snapshot above to weigh these trade-offs against your own goals.

Deep dive

Yield & income

On a $10,000 investment, RYLD would generate roughly $94.58 cash per distribution, while XYLD would produce $71.00 cash per distribution, at current distribution rates. Both pay monthly distributions.

RYLD yield11.35%
XYLD yield8.52%
Cash diff on $10K$23.58

Cost & efficiency

Over 10 years on $10,000, RYLD would cost approximately $600 in fees vs $600 for XYLD (simplified, not compounded). Both charge the same expense ratio.

RYLD ER0.60%
XYLD ER0.60%

Strategy & risk

RYLD tracks Cboe Russell 2000 BuyWrite Index with a covered call approach, while XYLD tracks Cboe S&P 500 BuyWrite Index with a covered call approach. Beta is 0.53 for RYLD and 0.39 for XYLD, making XYLD the less volatile of the two by this measure.

RYLD beta0.53
XYLD beta0.39

Fund details

RYLD is managed by Global X (launched 04/17/2019) with $1.33B in assets. XYLD is managed by Global X (launched 06/21/2013) with $3.40B in assets.

RYLD AUM$1.33B
XYLD AUM$3.40B
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Frequently asked questions

What is the current distribution rate for RYLD and XYLD?

RYLD currently distributes 11.35% and XYLD 8.52%, 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 RYLD or XYLD better for dividend income?

It depends on your goals. RYLD 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 RYLD and XYLD?

RYLD (Global X Russell 2000 Covered Call ETF) tracks Cboe Russell 2000 BuyWrite Index with a covered call approach, while XYLD (Global X S&P 500 Covered Call ETF) tracks Cboe S&P 500 BuyWrite Index with a covered call approach. They are issued by Global X and Global X respectively.

Can I hold both RYLD and XYLD?

Yes — nothing prevents holding both. Whether the combination actually diversifies depends on how much the underlying exposures overlap, which isn't fully measurable from the data on this page; review each security's holdings, sector, and strategy before treating them as complementary.

Is RYLD or XYLD safer?

By Dividend Vision's Distribution Safety Score — a rules-based 0–100 estimate of how resilient a distribution looks, where higher is safer — XYLD scores 79, RYLD scores 73, so XYLD's payout currently looks the more resilient of the two. 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, RYLD or XYLD?

RYLD and XYLD both charge the same expense ratio of 0.60%, so neither is cheaper on fees — pick based on yield, strategy, or underlying index instead.

How much income does $10,000 in RYLD vs XYLD generate?

At current rates, $10,000 in RYLD would generate roughly $94.58 cash per distribution ($1,135.00 annually). The same in XYLD would produce about $71.00 cash per distribution ($852.00 annually).

Which has performed better historically, RYLD or XYLD?

RYLD has lagged XYLD over the trailing twelve months, posting a 16.51% total return against 18.06%. The lead holds up over 5 years too: XYLD has compounded at 8.17% a year, against 2.60% for RYLD. XYLD has been the steadier holding, though — annualized volatility of 10.2% against 12.7% for RYLD. Figures are total returns: price change plus every distribution reinvested. Past performance does not guarantee future results.

More comparisons to explore

RYLD vs XYLD — at a glance

Generated October 3, 2026.

Overview

RYLD and XYLD are both covered-call ETFs from Global X that generate monthly income by holding index stocks and systematically selling one-month at-the-money call options. The key difference is their underlying exposure: RYLD writes calls on Russell 2000 small-cap stocks, while XYLD does the same on S&P 500 large-cap stocks. This structural choice creates a meaningful split in yield, volatility, and capital-appreciation potential.

How they differ

RYLD targets small-cap upside with a higher yield; XYLD targets large-cap stability with a lower but still substantial yield. That gap reflects the Russell 2000's higher dividend yield and greater call premium capture potential, offset by heavier downside volatility. RYLD's beta of 0.53 versus XYLD's 0.39 underscores this: RYLD's optionality dampens its small-cap exposure less than XYLD's strategy dampens the S&P 500. Both charge 0.60% in annual expenses.

Who each is best for

RYLD: Fits investors seeking maximum income from a covered-call structure and comfortable tolerating small-cap volatility. The higher yield appeals to those prioritizing current cash flow over principal stability.

XYLD: Fits investors who want meaningful option-based income without the earnings volatility of small caps. Suits those who view large-cap exposure as a core holding and accept a lower distribution rate in exchange for broader liquidity and lower price swings.

Key risks to know

  • Call-cap erosion on strong rallies. Both funds' capped returns (from sold calls) mean NAV growth stalls if the Russell 2000 or S&P 500 rallies sharply. In years of strong equity performance, total return (price + dividends) lags the unhedged index by the amount of forgone upside. If equity volatility declines, implied call prices fall, reducing premium capture and creating pressure on NAV unless stock prices rise significantly.
  • Concentration in a single-index strategy. Both funds' returns are entirely dependent on the performance of their respective index and the timing and pricing of rolling one-month calls. No diversification across strategies, geographies, or asset classes; performance hinges on covered-call mechanics working as expected.
  • Small-cap concentration and earnings volatility specific to RYLD. The Russell 2000 is more cyclical and earnings-sensitive than the S&P 500. In recessions or earnings-surprise downturns, RYLD's call premium may not offset equity losses as effectively as historical patterns suggest.

Bottom line

If you prioritize maximum income and can tolerate small-cap price swings, RYLD's 11.35% yield offers a meaningful step up. If you prefer large-cap stability and a still-attractive 8.52% yield, XYLD's lower volatility and larger asset base may fit better. Both funds trade away capital appreciation for monthly payouts—a tradeoff that suits income-focused horizons but limits total return potential in rallies. Past performance of covered-call mechanics does not guarantee future distributions or NAV stability.

AI-generated analysis for educational purposes only. Verify important details independently; past performance does not guarantee future results.

Learn the method

The metrics behind this comparison, explained in the Academy.

How covered-call funds work How to read a fund's stats The covered-call opportunity cost

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These comparisons follow the Dividend Vision methodology.