JEPI vs. SPHD: Which Monthly Dividend ETF Wins?

2 days ago 3

Vandita Jadeja

Tue, December 9, 2025 astatine 10:57 AM CST 5 min read

Andrii Yalanskyi / iStock via Getty Images

JEPI offers a 7.1% output done telephone options connected 125 holdings including Magnificent Seven stocks.
SPHD caps sectors astatine 10 stocks each to forestall overweighting and focuses connected unchangeable dividend payers.
JEPI returned 72% since 2020 versus SPHD’s 129% since 2015 with little volatility.
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Passive income investors similar maine are ever connected the lookout for antithetic ways to make other income. If you tin marque your wealth enactment for you, wherefore not? I judge investing should not lone make superior appreciation but besides dependable income. If you’re a low-risk capitalist looking to diversify your passive income steams, see dividend exchange-traded funds.

There are hundreds to take from and they supply contiguous diversification. I’ll sermon 2 dividend ETFs that wage monthly dividends and assistance you take one. Two manufacture players — JPMorgan and Invesco — person respective ETFs that are a apical choices for investors today. But 2 of their high-yield products are of peculiar interest, truthful 24/7 Wall St. conducted investigation and dove into 2 of their champion dividend ETFs.

J.P. Morgan Equity Premium Income ETF (NYSEARCA:JEPI) has a 30-day SEC output of 7.1%. This output is overmuch higher than the S&P 500’s 1.5%. In the ETF, you’ll ain top-quality businesses and names you’re already acquainted with. As of writing, its NAV is $57.15 and has precocious astir 8% year-to-date. The stock terms volition not summation importantly successful the coming months but the monthly precocious output volition enactment accordant adjacent successful marketplace volatility.

JEPI uses equity-linked notes that make income done the selling of telephone options connected the securities held successful the ETF. This allows it to wage a higher yield. The ETF holds 125 shares and its portfolio allocation is:

Information Technology: 16.2%
Financials: 11.4%
Industrials: 11.7%
Other: 14.9%
Healthcare: 12.2%

Its apical 10 holdings see the Magnificent Seven, including NVIDIA (NASDAQ:NVDA), Amazon Inc. (NASDAQ:AMZN), Microsoft (NASDAQ:MSFT) and Amazon (Nasdaq: AMZN). None of the stocks person a weightage higher than 2%. The apical 10 stocks signifier 15.80% of the portfolio.

An concern of $10,000 successful 2020 would beryllium worthy $17,193 successful 2025. The ETF has a low-expense ratio of 0.35%. If you’re not consenting to instrumentality immoderate risks, you mightiness privation to see a antithetic ETF but if your eyes are acceptable connected a precocious yield, JEPI volition not disappoint.