PFFD


U.S. Preferred ETF

Fund Summary

The Global X U.S. Preferred ETF (PFFD) invests in a broad basket of U.S. preferred stocks, providing benchmark-like exposure to the asset class.

Morningstar Rating Overall rating out of 58 Preferred Stock funds, based on risk-adjusted returns as of 09/30/2020

Fund Objective

The Global X U.S. Preferred ETF (PFFD) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the ICE BofAML Diversified Core U.S. Preferred Securities Index.

Why PFFD?

High Income Potential

PFFD invests in a broad basket of preferred stock in the U.S., an asset class that has historically offered high yield potential.

Low Expense Ratio

PFFD’s expense ratio is less than half the competitor average.^

Monthly Distributions

PFFD makes distributions on a monthly basis.

^Expense ratio was 52.4% lower than the competitor average net expense ratio as of 10/1/20, per ETF.com (category: “Fixed Income: U.S. – Corporate, Preferred”)

Fund Details As of 10/19/20

Key Facts

Ticker PFFD
Inception Date 09/11/17
CUSIP 37954Y657
ISIN US37954Y6573
Bloomberg Index Ticker PLCR
Primary Exchange NYSE Arca
Number of Holdings 281

Stats & Fees

Net Assets $767,361,349
NAV $25.00
Shares Outstanding 30,700,000
Gross Expense Ratio 0.24%
Net Expense Ratio * 0.23%

Distributions

30-Day SEC Yield 5.30%
Unsubsidized 30-Day SEC Yield ** N/A
12-Month Trailing Yield 5.51%
Distribution Yield 5.13%
Distribution Frequency Monthly

*Fee waivers are contractual and in effect until at least April 1, 2021.

**An unsubsidized yield of “N/A” represents a less than 0.01% fee waiver by the advisor.

Fund Prices As of 10/19/20

NAV Price 30-Day Median Bid-Ask Spread
Net Asset Value $25.00 Market Price $24.98 0.12%
Daily Change -$0.05 -0.20% Daily Change -$0.06 -0.24%  

Performance History

Cumulative %

Data as of month-end (09/30/20)

Fund NAV Market Price Index
Year-to-Date 2.38% 2.71% 2.56%
1 Month -0.49% -0.32% -0.43%
3 Months 6.88% 6.80% 6.96%
6 Months 16.19% 15.85% 16.19%
Since Inception 16.72% 17.63% 17.49%

Avg Annualized %

Data as of month-end (09/30/20)

Fund NAV Market Price Index
1 Year 4.05% 4.43% 4.27%
3 Years 5.18% 5.43% 5.42%
Since Inception 5.19% 5.46% 5.42%

Avg Annualized %

Data as of quarter-end (09/30/20)

Fund NAV Market Price Index
1 Year 4.05% 4.43% 4.27%
3 Years 5.18% 5.43% 5.42%
Since Inception 5.19% 5.46% 5.42%

Cumulative return is the aggregate amount that an investment has gained or lost over time. Annualized return is the average return gained or lost by an investment each year over a given time period.

The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted.

Top 10 Holdings As of 10/19/20

Net Assets (%) Ticker Name SEDOL Market Price ($) Shares Held Market Value ($)
2.99 WFC WFC 7 1/2 PERP B3KRSW9 1,352.05 17,201 23,256,612.05
2.81 AVGO AVGO 8 09/30/22 BKTDW14 1,258.64 17,339 21,823,558.96
2.52 BAC BAC 7 1/4 PERP B2PB3Z7 1,466.19 13,340 19,558,974.60
1.50 ALLY ALLY 6.06513 02/15/40 B4066X0 25.38 458,238 11,630,080.44
1.40 NEE NEE 5.279 03/01/23 BKPX575 50.79 214,819 10,910,657.01
1.40 C C 6.63825 10/30/40 B3Z1BZ0 27.78 390,916 10,859,646.48
1.39 DHR DHR 4 3/4 04/15/22 BJRJK13 1,528.85 7,061 10,795,209.85
1.26 DHR DHR 5 04/15/23 BMVWZV4 1,302.94 7,502 9,774,655.88
1.15 JPM JPM 6 PERP BJ2KBT6 28.05 318,182 8,925,005.10
1.13 WFC WFC 4 3/4 PERP BJVB6B7 25.29 346,219 8,755,878.51
Holdings are subject to change.

© 2020 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

The Morningstar Ratingfor funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The Morningstar Rating does not include any adjustment for sales load. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three- year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

As of 9/30, PFFD was rated against the following number of Preferred Stock funds over the following time periods: 58 during the last 3 years. With respect to these Preferred Stock funds, PFFD received a Morningstar Rating of 4 stars. Past performance is not indicative of future results.

Investing involves risk, including the possible loss of principal. Preferred stock is subject to many of the risks associated with debt securities, including interest rate risk. In addition, preferred stock may not pay a dividend, an issuer may suspend payment of dividends on preferred stock at any time, and in certain situations, an issuer may call or redeem its preferred stock or convert it to common stock. High yielding stocks are often speculative, high-risk investments. These companies can be paying out more than they can support and may reduce their dividends or stop paying dividends at any time, which could have a material adverse effect on the stock price of these companies and the Fund’s performance. PFFD is non-diversified.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Beginning October 15, 2020, market price returns are based on the official closing price of an ETF share or, if the official closing price isn’t available, the midpoint between the national best bid and national best offer (“NBBO”) as of the time the ETF calculates current NAV per share. Prior to October 15, 2020, market price returns were based on the midpoint between the Bid and Ask price. NAVs are calculated using prices as of 4:00 PM Eastern Time. The returns shown do not represent the returns you would receive if you traded shares at other times. Indices are unmanaged and do not include the effect of fees, expenses or sales charges. One cannot invest directly in an index.

Since the Fund’s shares did not trade in the secondary market until several days after the Fund’s inception, for the period from inception to the first day of secondary market trading in shares, the NAV of the Fund is used to calculate market returns.

Carefully consider the Fund’s investment objectives, risks, and charges and expenses before investing. This and other information can be found in the Fund’s summary or full prospectuses. Please read the prospectus carefully before investing.

Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC or Mirae Asset Global Investments. Global X Funds are not sponsored, endorsed, issued, sold or promoted by BofA Merrill Lynch, nor does BofA Merrill Lynch make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO, Global X nor Mirae Asset Global Investments are affiliated with BofA Merrill Lynch. (BofA Merrill Lynch indexes are “as is”. BofA Merrill Lynch makes no representations or warranties and disclaims all liability arising from the BofA Merrill Lynch indexes or their use.)