QQQT
Defiance Nasdaq 100 Income Target ETF
Distribution Rate *
Distribution Frequency
30-Day SEC Yield **
Aim to achieve a target annual income of 20% in the Nasdaq 100 using options, paid out monthly***
Strategy Overview
QQQT is an actively managed exchange-traded fund (“ETF”) dedicated to generating current income. Our strategy revolves around holding shares of ETFs that track the Nasdaq 100’s performance and engaging in the selling of daily credit call spreads on the Index.
Enhanced Potential Yield
Our options strategy involves selling a call option while simultaneously buying another call option at a higher strike price. By focusing on short-term options, we aim to offer an “enhanced” yield compared to traditional option-based strategies.
Income Generation
QQQT’s investment approach is meticulously designed to generate income through option premiums derived from selling Index call spreads, the primary driver of the Fund’s yield. We sell at-the-money or near-the-money call spreads to retain upside growth potential and aim for a target annual income level of 20%.
Trading
Each day, QQQT sells credit call spreads on the Nasdaq 100, prioritizing options with near-term expiration. This entails selling call options at or near the money strike prices and buying call options above that strike price. Should the Nasdaq 100 value rise above the upper strike price, QQQT stands to profit from further upside appreciation in the Index’s value.
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Distributions from QQQT include the following estimate return of capital per the 8/2/2024 19-a1 Notice: 100.00%.
* The Distribution rate is the estimated payout an investor would receive if the most recently declared distribution, which includes option income, remained the same going forward. The Distribution Rate is calculated by multiplying an ETF’s Distribution per Share by twelve (12), and dividing the resulting amount by the ETF’s most recent NAV. The Distribution Rate represents a single distribution from the ETF and does not represent its total return. Distributions are not guaranteed.
** The 30-Day SEC yield is a calculation based on a 30-day period ending on the last of the previous month. It is computed by dividing the net investment income per share earned during the period by the maximum offering price per share on the last day of the period.
The Distribution rate and 30-Day SEC Yield is not indicative of future distributions, if any, on the ETFs. In particular, future distributions on any ETF may differ significantly from its Distribution Rate or 30-Day SEC Yield. You are not guaranteed a distribution under the ETFs. Distributions for the ETFs (if any) are variable and may vary significantly from month to month and may be zero. Accordingly, the Distribution Rate and 30-Day SEC Yield will change over time, and such change may be significant. The distribution may include a combination of ordinary dividends, capital gain, and return of investor capital, which may decrease a fund’s NAV and trading price over time. As a result, an investor may suffer significant losses to their investment. These distribution rates caused by unusually favorable market conditions may not be sustainable. Such conditions may not continue to exist and there should be no expectation that this performance may be repeated in the future. Additional fund risks can be found below.
*** The fund intends to pay distributions, if any, on a monthly basis.
Fund Details
Data as of 09/18/2024QQQTMarket Price
Performance
| YTD | 1 Month | 3 Months | 6 Months | 1 Year | 3 Years | 5 Years | Since Inception | |
|---|---|---|---|---|---|---|---|---|
| Total Return NAV (%) | xx.xx% | 1.18% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -2.28% |
| Market Price (%) | xx.xx% | 1.26% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -1.97% |
| 1 Year | Since Inception | |
|---|---|---|
| Total Return (%) | xx.xx% | xx.xx% |
| Market Price (%) | xx.xx% | xx.xx% |
| YTD | 1 Month | 3 Months | 6 Months | 1 Year | 3 Years | 5 Years | Since Inception | |
|---|---|---|---|---|---|---|---|---|
| Total Return NAV (%) | xx.xx% | -2.74% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -3.41% |
| Market Price (%) | xx.xx% | -2.75% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -3.19% |
| 1 Year | Since Inception | |
|---|---|---|
| Total Return (%) | xx.xx% | xx.xx% |
| Market Price (%) | xx.xx% | xx.xx% |
| YTD | 1 Month | 3 Months | 6 Months | 1 Year | 3 Years | 5 Years | Since Inception | |
|---|---|---|---|---|---|---|---|---|
| Total Return NAV (%) | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -0.69% |
| Market Price (%) | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | xx.xx% | -0.45% |
| 1 Year | Since Inception | |
|---|---|---|
| Total Return (%) | xx.xx% | xx.xx% |
| Market Price (%) | xx.xx% | xx.xx% |
Top Holdings
| Name | Symbol | Stock price | % Net assets | Shares Held | Market Value |
|---|---|---|---|---|---|
| Invesco Qqq Trust Series 1 | QQQ | $483.36 | 100.84% | 26,010 | $12,572,194 |
| Exchange Cll Opt 09/24 19870 | NDXP 240923C19870000 | $100.45 | 0.56% | 7 | $70,315 |
| First American Government Obligations Fund 12/01/2031 | FGXXX | $100.00 | 0.13% | 15,954 | $15,954 |
| Exchange Cll Opt 09/24 19840 | NDXP 240923C19840000 | $115.35 | -0.65% | -7 | $-80,745 |
| Cash & Other | Cash&Other | $1.00 | -0.88% | -110,183 | $-110,183 |
Distribution
| Declaration Date | Ex-Div Date | Record Date | Payable Date | Amount ($) | |
|---|---|---|---|---|---|
| 7/30/2024 | 7/31/2024 | 7/31/2024 | 8/2/2024 | $0.3175 | |
| 8/30/2024 | 9/3/2024 | 9/3/2024 | 9/5/2024 | $0.3184 | |
| 9/30/2024 | 10/1/2024 | 10/1/2024 | 10/3/2024 | $x | |
| 10/31/2024 | 11/1/2024 | 11/1/2024 | 11/4/2024 | $x | |
| 11/29/2024 | 12/2/2024 | 12/2/2024 | 12/4/2024 | $x | |
| 12/30/2024 | 12/31/2024 | 12/31/2024 | 1/5/2025 | $x |
| Distribution Rate *
As of 08/30/2024 |
20.86% |
| Distribution Frequency | Monthly |
| 30-Day SEC Yield ** As of 08/31/2024 |
-0.13% |