■ Analysis · August 17, 2026
DIVO vs JEPI: Comparing Monthly Income and Principal Protection
DIVO outperformed JEPI over five years, but JEPI offers a higher yield. Both use covered calls, but their approaches differ in risk and payout stability.
Performance and Yield Comparison
Over the past five years, the Amplify CWP Enhanced Dividend Income ETF (DIVO) has delivered a total return of 69.64%, compared to 43.38% for the JPMorgan Equity Premium Income ETF (JEPI). In the trailing twelve months, DIVO gained 19.69% while JEPI returned 11.46%. Despite this performance gap, JEPI offers a higher forward yield of 7.65% versus DIVO's 4.72%.
Strategy Differences and Payout Stability
DIVO writes covered calls on a selective basis, covering only a portion of its 39 large-cap holdings, which include Microsoft (MSFT), Apple (AAPL), Caterpillar (CAT), JPMorgan Chase (JPM), and Goldman Sachs (GS). This approach leaves more upside potential uncapped. In contrast, JEPI employs a broader portfolio with no single position exceeding 1.8% and uses equity-linked notes to sell index-level calls, systematically capping market rallies.
Payout stability also differs. JEPI's monthly distributions fluctuated between $0.32586 and $0.54001 in 2025, and in 2022 they reached $0.6104 when option premiums were higher. DIVO's regular monthly payment has increased from $0.14892 in early 2024 to $0.1882 in July 2026, with an additional special distribution of $0.9534 in December 2025. DIVO's forward annual run rate of $2.2584 is below its trailing total because special distributions are not guaranteed.
Risk and Principal Protection
Both funds' prospectuses note that distributions can reduce net asset value (NAV) over time, especially if they exceed net investment income and realized gains. However, over the past year, both funds have grown their NAV on a price return basis, indicating distributions were funded by gains and premiums rather than return of capital. DIVO has a beta of 0.65, while JEPI's beta is 0.64, showing similar market sensitivity. On a safety scale, DIVO is rated 'Safe' while JEPI is rated 'Moderate Risk to Principal.'
What it means for income investors
DIVO's selective call writing and stronger five-year appreciation suggest it may better preserve principal in rising markets, while JEPI's higher yield and systematic options strategy could appeal in flat or volatile conditions. Both funds carry market risk, and past performance does not guarantee future results.
Reporting based on: Yahoo Finance. Figures verified against market data where available.