XPAY
Roundhill S&P 500 Target 20 Managed Distribution ETF
📎 Investment Objective
The Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY) seeks to provide investors with a consistent monthly distribution by investing in a portfolio of large-cap U.S. stocks.
Overview
ETF tracking Roundhill S&P 500 Target 20 Managed Distribution ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY) seeks to provide investors with a consistent monthly distribution by investing in a portfolio of large-cap U.S. stocks.
🎯 Investment Strategy
The fund aims to achieve its objective by investing in the 500 largest U.S. companies that make up the S&P 500 Index. The portfolio is actively managed to target a 20% annual distribution rate, which is paid out to shareholders on a monthly basis.
✨ Key Features
- Targets a 20% annual distribution yield paid out monthly
- Invests in the 500 largest U.S. companies through the S&P 500 Index
- Actively managed portfolio to maintain the target distribution rate
- Low expense ratio of 0.00%
⚠️ Primary Risks
- Market risk: The value of the fund's holdings may decline due to general market conditions
- Distribution risk: The fund may not be able to maintain its targeted 20% distribution rate, which could disappoint investors
- Concentration risk: By investing solely in the S&P 500, the fund is exposed to the performance of the large-cap U.S. equity market
- Liquidity risk: The fund may have difficulty selling certain holdings, especially in volatile or uncertain market conditions
👤 Best For
This ETF may be suitable for investors seeking a consistent monthly income stream from their large-cap U.S. equity exposure. However, the fund's focus on high distributions means it may not be the best choice for investors primarily seeking long-term capital appreciation.