YieldMax Short TSLA Option Income Strategy ETF (CRSH) Covered Calls

The YieldMax Short TSLA Option Income Strategy ETF is an actively managed fund that seeks to provide weekly income through a synthetic covered put strategy on Tesla, Inc. The fund aims for inverse exposure to Tesla’s daily price movements while generating current income from option premiums. It is designed for investors who are bearish on Tesla or seeking to hedge long positions, transforming the stock’s high volatility into a consistent stream of cash distributions.

You can sell covered calls on YieldMax Short TSLA Option Income Strategy ETF to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for CRSH (prices last updated Fri 4:16 PM ET):

YieldMax Short TSLA Option Income Strategy ETF (CRSH) Stock Quote
Last Change Bid Ask Volume P/E Market Cap
26.51 -0.52 26.23 26.80 37K - 0.0
Covered Calls For YieldMax Short TSLA Option Income Strategy ETF (CRSH)
Expiration Strike Call Bid Net Debit Return
If Flat		 Annualized
Return If Flat
Feb 20 27 0.15 26.65 0.6% 14.6%
Mar 20 27 0.05 26.75 0.2% 1.7%
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Extended Business Description

YieldMax Short TSLA Option Income Strategy ETF is a specialized derivative-income vehicle that provides inverse (bearish) exposure to Tesla while prioritizing high-frequency cash flow. Unlike traditional inverse funds that simply bet against a stock, CRSH utilizes a "synthetic covered put" strategy, allowing investors to harvest premiums from Tesla’s high implied volatility even if the stock trades sideways or declines moderately.

Core Strategy and Operations

  1. Synthetic Short Exposure: The fund seeks to replicate the daily inverse performance (-100%) of Tesla through a combination of options. It typically buys put options and sells call options to create a synthetic short position. This allows the fund to gain bearish exposure without the costs or margin requirements of physically shorting the shares.
  2. Covered Put Writing for Income: To generate its signature high yield, the fund writes (sells) out-of-the-money put options on Tesla. The premiums collected from these sales are the primary driver of the fund’s weekly distributions. However, because the fund is selling puts, its potential gains from a massive Tesla sell-off are "capped" at the strike price of those sold puts.
  3. Weekly Distributions and NAV Decay: As of 2026, CRSH has shifted to a weekly distribution schedule to provide investors with more frequent liquidity. Investors should be aware that a significant portion of these payouts may consist of Return of Capital (ROC). Furthermore, if Tesla experiences a sustained rally, the fund’s synthetic short position will lose value, potentially leading to rapid Net Asset Value (NAV) erosion.

Competitive Landscape

CRSH is part of a growing suite of "short-plus-income" products. Its most direct bearish peers include the Direxion Daily TSLA Bear 1X Shares and the Tradr 2X Short TSLA Daily ETF, though neither offers the same premium-harvesting income component. It is often held as a tactical hedge by investors who are long on the YieldMax TSLA Option Income Strategy ETF or the Direxion Daily TSLA Bull 2X Shares. Other single-stock inverse income funds include the YieldMax Short NVDA Option Income Strategy ETF and the YieldMax Short COIN Option Income Strategy ETF.

Strategic Outlook and Innovation

The fund is actively managed, with a gross expense ratio of approximately 1.14%. The management team focuses on dynamic strike selection for its written puts to balance the need for high income against the risk of Tesla’s sudden price spikes. In the 2026 market, CRSH is a popular tool for "volatility traders" who believe Tesla is overvalued but want to get paid while waiting for a correction. However, the fund is non-diversified and carries substantial risk; its primary objective is income, and it will not fully benefit from a catastrophic crash in Tesla’s stock price due to the nature of the covered put overlay.