Nasdaq-100 Consumer Staples and High-Yield Income Strategy

### Session Tape — Weekend Index Context - S&P 500 (^GSPC): +0.17% (yielding ~1%) - Nasdaq-100 concentration: ~66% technology sector - Consumer staples average yield: ~2.1% - PepsiCo ($PEP+WL): Yielding ~4.3% with organic sales up 2.4% in the second quarter of 2026 - Coca-Cola ($KO+WL): Organic sales growth of 6% in the second quarter of 2026

## Catalyst Analysis: Defensive Yield vs. Tech Concentration Market participants analyzing index concentration note that approximately 66% of the Nasdaq-100 index is allocated to the technology sector. For investors seeking yields above the broader market—where the S&P 500 yields approximately 1% and average consumer staples yield roughly 2.1%—attention shifts toward the limited slice of consumer staples within the index.

PepsiCo exhibits an attractive yield profile of roughly 4.3%, outstripping both the broader equity indices and standard sector averages. However, operational comparisons reveal a divergence in top-line expansion: PepsiCo reported second-quarter 2026 organic sales growth of 2.4%, compared to competitor Coca-Cola's 6% organic sales increase over the same period. This growth differential underlines the trade-off between higher baseline cash return and relative momentum within the consumer beverage space.

### Money Play - Income-focused allocations examine consumer staples within concentrated indices like the Nasdaq-100 for yield enhancement. - Sector divergence requires balancing absolute dividend yield against organic top-line expansion rates.