YieldMax CVNA Option Income Strategy ETF (CVNY)

The YieldMax CVNA Option Income Strategy ETF is an actively managed fund from YieldMax ETFs that seeks to generate current income while providing some exposure to the share price of Carvana Co. (CVNA).

The fund does not own Carvana stock directly. Instead it builds a synthetic covered-call position using options: it gains long exposure to the stock through purchased calls and sold puts, then sells call options to collect premium. Collateral is held mainly in short-term U.S. Treasury securities, and income is paid out through frequent distributions.

Carvana, based in Tempe, Arizona, operates an online platform for buying, selling and financing used cars. Because of the call-writing strategy, the fund's participation in gains of the stock is capped, while it remains exposed to declines.