ETF Evaluator:
NEOS MSCI EAFE High Income ETF ()
Follow This ETF
(as of Aug 26)
Best Performing in Derivative Income Over the Last Year
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ETF Details
NEOS MSCI EAFE High Income ETF Overview
NEOS MSCI EAFE High Income ETF (NIHI) is an actively managed Nontraditional Equity Derivative Income exchange-traded fund (ETF). Neos Funds launched the ETF in 2025.
The investment seeks to generate high monthly income in a tax efficient manner with the potential for equity appreciation.
Under normal circumstances, the fund invests at least 80% of its net assets, plus borrowings for investment purposes, in securities of companies included in the international index. The fund executes this portion of the strategy by investing in one or more international Underlying ETFs and/or a portfolio of stocks that make up the international index.
About NEOS MSCI EAFE High Income ETF (NIHI)
There are 2 members of the management team with an average tenure of 0.87 years: Garrett Paolella (2025) and Troy Cates (2025). Management tenure is more important for actively managed ETFs than passive index ETFs.
NEOS MSCI EAFE High Income ETF has 6 securities in its portfolio. The top 10 holdings constitute 102.0% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
NEOS MSCI EAFE High Income ETF is part of the Equity global asset class and is within the Nontraditional Equity ETF group. NEOS MSCI EAFE High Income ETF has 97.8% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.2% There is 97.8% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). NEOS MSCI EAFE High Income ETF has 1.9% of the portfolio in cash.
Assets Under Management
The fund has $186 million in total assets, which is below the $727 million average for the Derivative Income category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
NIHI Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The NEOS MSCI EAFE High Income ETF expense ratio is above average compared to funds in the Derivative Income category. NEOS MSCI EAFE High Income ETF has an expense ratio of 0.68%, which is 18% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. NEOS MSCI EAFE High Income ETF has a portfolio turnover rate of 0%, which indicates that it holds its assets around /years. By way of comparison, the average portfolio turnover is 69% for the Derivative Income category.
Recently, in the month of July 2026, NEOS MSCI EAFE High Income ETF returned 1.8%, which earned it a grade of B, as the Derivative Income category had an average return of -1.5%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
NEOS MSCI EAFE High Income ETF has a trailing yield of 0.00%, which is below the 19.96% category average.
The fund normally distributes its income monthly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
NEOS MSCI EAFE High Income ETF Grades
Year to date, the ETF has returned 9.1%, 6.5 percentage points better than the category, which translates into a grade of B.
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NIHI Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| NIHI Return (NAV) | 1.8% | 4.9% | na | na | na | na |
| NIHI Return (Price) | 1.7% | 4.8% | na | na | na | na |
| NAV +/- Price Return | 0.071% | 0.161% | na | na | na | na |
| Derivative Income Avg | -1.5% | 0.6% | 11.2% | 13.7% | 8.8% | 7.5% |
| NIHI Grade (NAV) | B | B | na | na | na | na |
| +/- Category (NAV) | 3.3% | 4.3% | na | na | na | na |
| NIHI Tax-Cost Ratio | na | na | na | na | na | na |
NIHI Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| NIHI Return (NAV) | 9.1% | na | na | na | na | na | na | na | na | na | na |
| NIHI Return (Price) | 8.8% | na | na | na | na | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.033% | na | na | na | na | na | na | na | na | na | na |
| Derivative Income Avg | 2.6% | 10.6% | 18.5% | 17.5% | -11.3% | 19.4% | 1.4% | 19.2% | -7.1% | 12.1% | 8.7% |
| NIHI Grade (NAV) | B | na | na | na | na | na | na | na | na | na | na |
| +/- Category | 6.5% | na | na | na | na | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | na |
| R-Squared: | na |
| Standard Deviation: | na |
| Category Risk Index: | na |
| Category Risk Rating: | |
| Total Risk Index: | na |
| Total Risk Rating: | |
| Portfolio Characteristics | |
| Yield: | -- |
| Total Assets: | $ 187 Mil |
| Share Class Assets: | $ 187 Mil |
| Turnover: | na |
| Expense Ratio: | 0.68% |
| Index Fund: | No |
| Index Tracked: | N/A |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Monthly |
Management Team
| Number of Managers: 2 | |||
| Longest Tenure: 0.9 years | |||
| Average Tenure: 0.9 years | |||
| Managers (Year): Paolella Garrett (2025), Cates Troy (2025) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 6 |
| % in Top 10 Holdings: | 102.0% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 97.8% |
Portfolio Allocation |
|
| Domestic Stock: | 0.2% |
| Foreign Stock: | 97.8% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.1% |
| Cash: | 1.9% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Neos Funds |
| Phone Number: | 833-833-1311 |
| Website: | |
| Inception Date: | September 16, 2025 |
Expenses and Fees
| Expense Ratio (%): | 0.68% (Rating: Above Avg) |
| Category Average Expense Ratio (%): | 0.83% |
