TappAlpha SPY Growth & Daily Income ETF

TSPY

Market cap $249M

Volatility and dispersion are the likely key themes for 2026. The sky-high valuations and increasingly shaky economic/financial fundamentals support that view. At the same time, the market's "put mechanism," which has made the buy-the-dip strategy work since really the GFC, has not disappeared.

The TappAlpha SPY Growth & Daily Income ETF targets high-yield investors by pairing a long SPY position with daily out-of-the-money call selling. TSPY's daily option resets offer greater upside capture during rallies versus traditional covered call ETFs but introduce higher risk in volatile or declining markets. The current macro backdrop—falling rates, strong GDP, and equity momentum—supports TSPY's directional strategy for investors bullish on new S&P 500 highs in 2026.

SEATTLE, Jan. 13, 2026 (GLOBE NEWSWIRE) -- TappAlpha, an ETF platform helping define the Growth + Income investing category, today announced that it has surpassed $250 million in assets under management (AUM)—three months after hitting the $100 million mark. This rapid growth has been fueled by advisor and investor demand for TSPY and TDAQ, two actively managed ETFs offering daily income overlays on top of broad market exposure to the S&P 500 and Nasdaq-100, respectively.

TappAlpha SPY Growth & Daily Income ETF earns a Strong Buy rating for its superior yield and S&P 500 upside capture versus SPYI. TSPY delivers 13-14% yields and better total returns than SPYI, though with less downside protection due to its 0DTE options strategy. SPYI remains a Buy for its consistent 10%+ yields, tax efficiency, and lower volatility, but TSPY's higher payouts may better suit most income investors.

SEATTLE, Jan. 07, 2026 (GLOBE NEWSWIRE) -- TappAlpha and Tuttle Capital Management, two innovators in ETF design, today jointly announced the launch of the T² Lift™ Series — a new line of ETFs seeking to offer light-leverage exposure to the daily income and growth strategies behind TSPY and TDAQ. The T² Lift™ Series aims to give investors 30% more exposure to the same daily growth and income strategies used in TSPY (S&P 500) and TDAQ (Nasdaq-100) — two of the fastest-growing ETFs in the market.

Current market valuations are near dot-com bubble highs, especially in AI leaders, where the P/S are just extreme. The fact that we have entered 2026 with an active 3-year bull run does not help either. However, we have to be also mindful of the risk that comes with such a thinking - i.e., the risk of incurring painful opportunity cost.

The TappAlpha SPY Growth & Daily Income ETF is a Buy, outperforming peers in the S&P 500 0DTE-based covered call ETF space. TSPY's flexible, aggressive option-writing strategy paired with full SPY exposure minimizes tracking error and adapts well to varying market regimes. The ETF's sustainable sub-14% yield avoids NAV erosion seen in higher-yielding competitors like XDTE, supporting long-term capital preservation.

TappAlpha SPY Growth and Daily Income ETF offers a compelling 13.68% trailing 12-month yield with relatively stable monthly distributions. TSPY's same-day S&P 500 options strategy differentiates it from QYLD, aiming to limit risk and support capital appreciation alongside income. Despite a higher 0.77% expense ratio, TSPY's 1-year tracking error is a low 3.21%, outperforming QYLD on price return over the past year.

Monthly dividend stocks are becoming increasingly popular, especially those that amplify their yields using options.

TSPY offers ~13% yield, which might not sound too promising in terms of the ETF being included in durable retirement income portfolio. Typically, anything that exceed, say, 8% to 10% yield range carries elevated risks on both dividend and value sustainability front. However, I have still included TSPY in my 'high yield/medium risk' portfolio bucket - a portfolio designed for durable retirement income extraction and gradual snowballing.