USOI Dividend: Yield, Schedule, and What to Expect
Last updated August 2026
Short answer
USOI's approximate 49.17% yield (as of July 2026) makes it an income-oriented fund, about $4917 a year on a $10,000 position before tax. It tracks Crude oil covered-call strategy (linked to the US Oil Fund, USO) and passes through the income its holdings generate, monthly, net of the 0.85% expense ratio. If income is your goal, USOI earns its place as a yield-paying core holding. If total return is the goal, the yield matters less than cost and what it holds. Yield is a recent snapshot, not a promise; verify the current figure with UBS AG.
How does the USOI dividend work?
USOI holds what is in Crude oil covered-call strategy (linked to the US Oil Fund, USO), collects the income those holdings generate, and distributes it to shareholders monthly, net of its 0.85% fee. The yield you see is trailing distributions divided by price, so it drifts as both change: a falling price raises the quoted yield without a single extra dollar being paid out.
An exchange-traded note (ETN) issued by UBS AG that tracks an index applying a covered-call strategy on shares of the United States Oil Fund (USO). The strategy holds oil exposure and sells monthly call options against it, generating option premium that funds a very high distribution (recently around 49%). Two structural features are critical: as an ETN, USOI is unsecured senior debt of UBS, so its value depends on UBS's creditworthiness rather than a segregated pool of assets; and the covered-call overlay caps upside in a rising oil market while leaving downside largely intact, so it tends to lag USO when oil rallies. The high distribution can include return of capital. It is a complex, niche product rather than a simple oil position.
What USOI's dividend pays on a real position
- Approximate yield: 49.17% (July 2026).
- Income on $10,000: roughly $4917 a year before tax, or about $49,170 on $100,000.
- Versus the market: the S&P 500 yields around 1.2%, so USOI pays more.
- Schedule: monthly, in line with how this kind of fund collects income. UBS AG publishes the exact ex-dividend and pay dates.
- Fee: the 0.85% expense ratio comes out before you receive anything, so the yield above is already net of it.
How USOI distributions are taxed
A large share of USOI's distributions are usually qualified dividends, taxed at long-term capital-gains rates rather than as ordinary income, provided the holding-period tests are met by both the fund and you. Some portion can still be ordinary, and REIT or option-income components generally are. UBS AG's annual 1099 shows the actual split. Inside an IRA, Roth, or 401(k) none of it applies while the money stays in the account. Full detail is in how dividends are taxed. This is not tax advice.
If income is your goal, compare USOI against dividend-focused funds. See the best dividend ETFs roundup and best ETFs for monthly income, or analyze how USOI's income fits your real portfolio in Walnut.
The bottom line on the USOI dividend
The bottom line: at an approximate 49.17% yield, USOI is an income-oriented fund. If income is your goal, its yield earns its place alongside the Crude oil covered-call strategy (linked to the US Oil Fund, USO) exposure it carries. If total return is the goal, the yield matters less than cost and what it holds. Treat the figure as a moving snapshot, not a fixed rate, and verify the current yield with UBS AG.
More on USOI
- What is USOI? (holdings, cost, performance, and the themes it covers)
- Is USOI a buy? (what you are buying, the case for it, and what to weigh)
Investing in USOI with AI
Connect the broker you already use and ask Walnut's AI how USOI fits what you actually hold: what it overlaps with, what it leaves you exposed to, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is USOI's dividend yield?
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Approximately 49.17% as of July 2026. On a $10,000 position that is roughly $4917 of distributions a year before tax. The S&P 500 yields around 1.2%, so USOI pays meaningfully more than the broad market. Yield is trailing distributions divided by price, so it moves when either changes; verify the current figure on UBS AG's fund page.
How often does USOI pay a dividend?
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USOI is an option-income fund, and funds of that kind almost always distribute monthly rather than quarterly, because the income they collect arrives monthly too. UBS AG publishes the exact ex-dividend and pay dates in USOI's distribution calendar, which is the figure to rely on.
Does USOI pay monthly dividends?
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Yes, USOI is the kind of fund that distributes monthly. That suits people who want the income to arrive on a regular cadence, though monthly payments make no difference to total return, only to timing. Confirm the schedule on UBS AG's distribution calendar.
Where does USOI's dividend come from?
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USOI tracks Crude oil covered-call strategy (linked to the US Oil Fund, USO). The fund collects the income those holdings generate and passes it through to you. The 0.85% expense ratio is taken out along the way, so the yield you see is already net of the fee: you do not pay it separately.
When is USOI's ex-dividend date?
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UBS AG sets and publishes it on USOI's fund page, and it moves with each distribution, so we do not quote a fixed date here. What it means is the cutoff: buy on or after the ex-dividend date and the seller keeps that distribution. Buying just before the ex-date to capture a payment is not free money, because the fund's price typically drops by roughly the distribution amount when it goes ex.
Can I reinvest USOI dividends?
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Yes. Most brokers let you turn on automatic dividend reinvestment (a DRIP) so USOI distributions buy more shares, often fractional ones, without you doing anything. It compounds the position over time. It does not change the tax treatment: in a taxable account the distribution is taxable in the year it is paid, whether you reinvest it or take the cash.
Is USOI a good choice for dividend income?
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Walnut is informational, not investment advice. USOI yields roughly 49.17%, which is a genuine income yield. At that rate, $100,000 in USOI generates roughly $49,170 a year before tax. The trade-off to check is what you give up elsewhere: higher-yielding funds often tilt toward slower-growing sectors or use options strategies that cap upside. See the best dividend ETFs roundup to compare.
Are USOI dividends qualified?
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Usually a large share of them are. Dividends passed through from US companies are qualified, and so taxed at long-term capital-gains rates, when the fund and you both meet the holding-period tests. Some portion can still be ordinary income, and option-income and REIT distributions generally are. UBS AG's annual 1099 shows the actual split. In an IRA or Roth the distinction does not matter. This is not tax advice.
Walnut is informational, not investment advice. Dividend yields and schedules are approximate, stamped to July 2026, and change; verify current figures with UBS AG or your broker.