OMAH Now Holds $1.7 Billion in Berkshire Style Stocks and It Just Hit 15 Percent Returns Without Buffett Buying a Thing

VistaShares Target 15 Berkshire Select Income ETF (NASDAQ:OMAH) targets a specific investor: the retiree who wants Warren Buffett’s playbook without Berkshire’s $300 billion-plus cash drag and needs monthly income. OMAH holds Berkshire-style blue chips (insurance, regulated utilities, consumer staples, financial franchises) and writes covered calls to aim at a 15.3% trailing distribution yield. With shares around $19 and assets at roughly $805 million, OMAH has captured attention precisely because Berkshire (NYSE:BRK-B | BRK-B Price Prediction) has gone the other direction this year.

The Strategy and the Return Engine

OMAH owns a concentrated basket of durable franchise equities that Buffett has historically favored, then sells call options against those holdings to harvest premium income, which is distributed monthly alongside underlying dividends. The fund’s name (“Target 15”) signals the goal: an annualized 15% distribution rate, paid monthly. A $250,000 stake at that target throws off roughly $37,500 a year in cash, though investors should pull the latest Form 19-A-1 notice to see how much is realized income versus a return of capital.

For a retired investor who has held Berkshire since the early 2000s, the appeal is straightforward. Berkshire pays no dividend. OMAH pays every month using the same business model.

Does It Actually Deliver?

The headline 15% describes a distribution target; total return tells a different story. OMAH’s year-to-date total return through early June sits at about 5.2%, with a one-year total return of 12.4%. That beats Berkshire’s -2.8% YTD decline and its -0.5% one-year slide, validating the thesis that Berkshire’s cash hoard is currently a drag.

The comparison gets less flattering against a plain dividend ETF. Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD) is up 19.8% YTD and 28.7% over one year, charging just 0.06% versus OMAH’s 0.95%. SCHD owns Coca-Cola (NYSE:KO), the most Buffett-coded position imaginable, at 3.97% of the fund. Coca-Cola itself returned 10.6% YTD while raising the quarterly payout to $0.53, its 63rd consecutive annual increase. The covered-call overlay has produced rich monthly income, but it has capped the upside that a straight dividend basket captured this year.

The Tradeoffs

1. Capped upside. Writing calls trades appreciation for premium. In a rally led by the same blue chips OMAH holds, the fund cannot fully participate. SCHD’s 19.8% YTD spread versus OMAH’s 5.1% is the bill.
2. Tax friction and return of capital. Distributions can include ROC, which reduces cost basis rather than reflecting earnings. The 0.95% expense ratio compounds the drag. Holding OMAH inside an IRA neutralizes most of this.
3. Distribution sustainability. The 15% target depends on options-market volatility. If implied vol collapses, the fund must either dip into capital or let the payout drift lower.

Who OMAH Actually Fits

The takeaway here is that OMAH belongs in the income sleeve of a retiree who has won the growth game and now wants monthly cash from Buffett-style businesses without Berkshire’s cash anchor. When paired with SCHD and a covered call fund, such as JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI), it creates a balanced income leg. Investors still chasing capital appreciation, or anyone uncomfortable with return-of-capital mechanics, will be better served keeping Berkshire (currently $489 after a 2.2% bounce) and adding SCHD instead. Meanwhile, OMAH works as a complement to a Berkshire position.