JEPI vs. JEPQ: Which Is the Better Buy in April?

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The highest-profile ETFs in this category have generally been the single-stock variety, but traditional covered call strategies are also drawing in new money.The two biggest ETFs in this group by far are the JPMorgan Equity Premium Income ETF (NYSEMKT: JEPI) and the JPMorgan Nasdaq Equity Premium Income ETF (NASDAQ: JEPQ).Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »These funds became ultra-popular in 2022, when both stocks and bonds were cratering and investors pivoted to high-yield covered call products for income and safety. In the three years that followed that bear market, returns have moderated, but the inflows continue to pour in. Combined, these two ETFs have $78 billion in assets under management (AUM).As we kick off the second quarter of the year, let's break down these funds to see if they still make sense and which might be the better buy.Image source: Getty Images.This ETF is actively managed and targets stocks with below-market volatility and an attractive risk/return profile. On top of that portfolio, it writes out-of-the-money S&P 500 call options in order to generate monthly income.The key here is the low-volatility stock portfolio. With top 10 holdings, such as Walmart, Johnson & Johnson, NextEra Energy, and Ross Stores, this portfolio is built to withstand more challenging economic periods.That's exactly what the market is experiencing. U.S. gross domestic product (GDP) growth in fourth-quarter 2025 slowed to an annualized rate of just 0.7%. Month-over-month non-farm payroll growth has been negative in five of the past nine months. The Organization for Economic Cooperation and Development (OECD) recently put out a report forecasting a 4% inflation rate in the United States later this year. These are tough conditions that are generally not supportive of higher stock prices.Investing in more defensive stocks doesn't necessarily mean avoiding losses. But it is likely to be less volatile and come with less downside risk.Even though investing in covered call strategies reduces the upside potential of the JPMorgan Equity Premium Income ETF, that extra yield can help offset any share price losses in the coming months. This ETF could perform similarly to how it did in 2022.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoTrending tickersBTC-USD Bitcoin USD 66,917.41 -15.98 (-0.02%)ETH-USD Ethereum USD 2,039.91 -10.08 (-0.49%)XRP-USD XRP USD 1.30 -0.01 (-1.09%)SPCE Virgin Galactic Holdings, Inc. 2.4600 +0.0600 (+2.50%)SOL-USD Solana USD 79.77 -0.21 (-0.26%)PortfolioSign in to access your portfolioSign inTop gainersAAOI Applied Optoelectronics, Inc. 103.91 +17.56 (+20.34%)SBAC SBA Communications Corporation 204.04 +32.48 (+18.93%)YSS York Space Systems, Inc. 28.03 +4.43 (+18.77%)VSAT Viasat, Inc. 53.69 +8.46 (+18.70%)LUNR Intuitive Machines, Inc. 23.99 +3.75 (+18.53%)Top losersKNF Knife River Corporation 73.91 -8.20 (-9.99%)WIX Wix.com Ltd. 81.95 -8.55 (-9.45%)PBH Prestige Consumer Healthcare Inc. 52.48 -5.20 (-9.02%)ENPH Enphase Energy, Inc. 34.92 -3.36 (-8.78%)RGC Regencell Bioscience Holdings Limited 30.80 -2.92 (-8.66%)Most activeNVDA NVIDIA Corporation 177.39 +1.64 (+0.93%)INTC Intel Corporation 50.38 +2.35 (+4.89%)NOK Nokia Oyj 8.82 +0.55 (+6.65%)PLUG Plug Power Inc. 2.4100 +0.1600 (+7.11%)TSLA Tesla, Inc. 360.59 -20.67 (-5.42%)Top economic eventsEarnings eventsMy earnings eventsEarnings events