One small fund tied to artificial intelligence stocks delivered $1,051 in a single month, not through selling shares or trading options, but simply by holding the fund and letting it pay out cash every Thursday.

That works out to a 34% annualized distribution rate, even though the underlying AI stocks pay no dividends themselves.

Tim Plaehn, Chief Income Strategist at Investors Alley, breaks down exactly how the fund generates these weekly payouts.