XYLD


S&P 500 Covered Call ETF

Fund Summary

The Global X S&P 500 Covered Call ETF (XYLD) follows a “covered call” or “buy-write” strategy, in which the Fund buys the stocks in the S&P 500 Index and “writes” or “sells” corresponding call options on the same index.

Morningstar Rating Overall rating out of 109 Options-based funds, based on risk-adjusted returns as of 09/30/2020

Fund Objective

The Global X S&P 500 Covered Call ETF (XYLD) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the CBOE S&P 500 BuyWrite Index.

Why XYLD?

High Income Potential

XYLD seeks to generate income through covered call writing, which historically produces higher yields in periods of volatility.^

Monthly Distributions

XYLD has made monthly distributions more than 7 years running.

Efficient Options Execution

XYLD writes call options on the S&P 500 Index, saving investors the time and potential expense of doing so individually.

^Covered call writing can limit the upside potential of the underlying security

Fund Details As of 10/16/20

Key Facts

Ticker XYLD
Inception Date 06/21/13
CUSIP 37954Y475
ISIN US37954Y4750
Bloomberg Index Ticker BXM
Primary Exchange NYSE Arca
Number of Holdings 507

Stats & Fees

Net Assets $110,591,053
NAV $45.14
Shares Outstanding 2,450,000
Gross Expense Ratio 0.65%
Net Expense Ratio * 0.60%

Distributions

30-Day SEC Yield 1.20%
Unsubsidized 30-Day SEC Yield ** N/A
12-Month Trailing Yield 7.10%
Distribution Yield 11.60%
Distribution Frequency Monthly

*Fee waivers are contractual and in effect until at least March 1, 2022.

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

Fund Prices As of 10/16/20

NAV Price 30-Day Median Bid-Ask Spread
Net Asset Value $45.14 Market Price $45.21 0.27%
Daily Change -$0.06 -0.12% Daily Change -$0.03 -0.06%  

Performance History

Cumulative %

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

Fund NAV Market Price Index
Year-to-Date -7.48% -6.92% -6.91%
1 Month -0.11% 0.30% -0.02%
3 Months 8.38% 8.68% 8.85%
6 Months 17.89% 21.44% 18.58%
Since Inception 62.31% 63.84% 64.47%

Avg Annualized %

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

Fund NAV Market Price Index
1 Year -1.96% -1.92% -1.18%
3 Years 3.46% 3.59% 4.45%
5 Years 7.05% 7.63% 7.35%
Since Inception 6.88% 7.02% 7.07%

Avg Annualized %

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

Fund NAV Market Price Index
1 Year -1.96% -1.92% -1.18%
3 Years 3.46% 3.59% 4.45%
5 Years 7.05% 7.63% 7.35%
Since Inception 6.88% 7.02% 7.07%

The Fund’s investment objective and investment strategies changed effective December 15, 2017 and again on August 21, 2020. Hybrid index performance (noted as "Index" above in the chart) reflects the performance of the S&P 500 Stock Covered Call Index through December 14, 2017, the CBOE S&P 500 2% OTM BuyWrite Index through August 20, 2020, and the CBOE S&P 500 BuyWrite Index thereafter. The Fund was also re-organized effective December 24, 2018. Fund returns (NAV & Closing Price) presented above reflect the performance of the predecessor Fund through December 21, 2018.

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 10/16/20

Net Assets (%) Ticker Name SEDOL Market Price ($) Shares Held Market Value ($)
6.75 AAPL APPLE INC 2046251 119.02 62,110 7,392,332.20
5.86 MSFT MICROSOFT CORP 2588173 219.66 29,228 6,420,222.48
4.91 AMZN AMAZON.COM INC 2000019 3,272.71 1,644 5,380,335.24
2.25 FB FACEBOOK INC-CLASS A B7TL820 265.93 9,250 2,459,852.50
1.65 GOOGL ALPHABET INC-CL A BYVY8G0 1,567.70 1,153 1,807,558.10
1.62 GOOG ALPHABET INC-CL C BYY88Y7 1,573.01 1,127 1,772,782.27
1.47 BRK/B BERKSHIRE HATH-B 2073390 211.91 7,601 1,610,727.91
1.37 JNJ JOHNSON & JOHNSON 2475833 148.10 10,088 1,494,032.80
1.26 PG PROCTER & GAMBLE CO/THE 2704407 144.39 9,531 1,376,181.09
1.19 NVDA NVIDIA CORP 2379504 552.46 2,361 1,304,358.06
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, XYLD was rated against the following numbers of Options-based funds over the following time periods: 109 during the last 3 years, 65 during the last 5 years. With respect to these Options-based funds, XYLD received a Morningstar Rating of 3 and 4 stars, respectively. Past performance is not indicative of future results.

Investing involves risk, including the possible loss of principal. Concentration in a particular industry or sector will subject XYLD to loss due to adverse occurrences that may affect that industry or sector. Investors in XYLD should be willing to accept a high degree of volatility in the price of the fund’s shares and the possibility of significant losses.

XYLD engages in options trading. An option is a contract sold by one party to another that gives the buyer the right, but not the obligation, to buy (call) or sell (put) a stock at an agreed upon price within a certain period or on a specific date. A covered call option involves holding a long position in a particular asset, in this case U.S. common equities, and writing a call option on that same asset with the goal of realizing additional income from the option premium. XYLD writes covered call index options on the CBOE S&P 500 BuyWrite Index. By selling covered call options, the fund limits its opportunity to profit from an increase in the price of the underlying index above the exercise price, but continues to bear the risk of a decline in the index. A liquid market may not exist for options held by the fund. While the fund receives premiums for writing the call options, the price it realizes from the exercise of an option could be substantially below the indices current market price.

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.

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 S&P or CBOE, nor do these entities 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 these entities.

XYLD traded under the ticker HSPX from inception until August 21, 2020.