Simplify High Yield PLUS Credit Hedge ETF
Name
As of 09/06/2024Price
Aum/Mkt Cap
YIELD
Exp Ratio
Watchlist
Vitals
YTD Return
10.0%
1 yr return
16.3%
3 Yr Avg Return
N/A
5 Yr Avg Return
N/A
Net Assets
$154 M
Holdings in Top 10
98.9%
52 WEEK LOW AND HIGH
Expenses
OPERATING FEES
Expense Ratio 0.51%
SALES FEES
Front Load N/A
Deferred Load N/A
TRADING FEES
Turnover N/A
Redemption Fee N/A
Min Investment
Standard (Taxable)
N/A
IRA
N/A
Fund Classification
Fund Type
Exchange Traded Fund
Name
As of 09/06/2024Price
Aum/Mkt Cap
YIELD
Exp Ratio
Watchlist
CDX - Profile
Distributions
- YTD Total Return 10.0%
- 3 Yr Annualized Total Return N/A
- 5 Yr Annualized Total Return N/A
- Capital Gain Distribution Frequency N/A
- Net Income Ratio N/A
- Dividend Yield 10.1%
- Dividend Distribution Frequency Monthly
Fund Details
-
Legal NameSimplify High Yield PLUS Credit Hedge ETF
-
Fund Family NameN/A
-
Inception DateFeb 15, 2022
-
Shares OutstandingN/A
-
Share ClassN/A
-
CurrencyUSD
-
Domiciled CountryUS
-
ManagerPaul Kim
Fund Description
Principal Investment Strategies: The adviser seeks to achieve the Fund’s investment objective by investing in high yield bonds also known as “junk bonds” primarily by purchasing swaps on exchange traded funds and applying a credit hedge derivatives strategy to the Fund’s investments.
High Yield Strategy
The Fund has adopted a non-fundamental investment policy that, under normal circumstances, the Fund will invest at least 80% of its net assets (plus any borrowings for investment purposes) in securities that provide exposure to high yield securities, also known as junk bonds. The Fund defines junk bonds as those rated below Baa3 by Moody’s Investors Service or below BBB- by Standard and Poor’s Rating Group, or, if unrated, determined by the adviser to be of similar credit quality. The adviser does not frequently trade securities but seeks to maintain consistent exposure to junk bonds through its purchase of swaps on exchange traded funds that primarily invest in high-yield securities. The adviser determines the securities to which it seeks exposure based on factors such as price, liquidity, and track record.
The exchange traded funds underlying the swaps that the Fund will invest in may target high yield bonds with different maturities, durations, and quality requirements in connection with their investment strategies. Duration is a measure of price sensitivity of a debt security or a portfolio of debt securities to relative changes in interest rates. For instance, a duration of “five years” means that a security’s or portfolio’s price would be expected to decrease by approximately 5% with a 1% increase in interest rates (assuming a parallel shift in yield curve). Maturity is the period during which its owner will receive interest payments on the investment. When the bond reaches maturity, the Fund is repaid its par, or face value. A bond’s quality is a reference to the grade given to a bond by a rating service that indicates its credit quality. The rating takes into consideration a bond issuer’s financial strength or its ability to pay a bond’s principal and interest in a timely fashion. For instance, a “AAA” high-grade rated bond offers more security and lower profit potential (lower yield) than a “B-” rated speculative bond.
Credit Hedge Strategy
The Fund may invest up to 20% of the Fund’s portfolio in derivatives. The derivatives overlay consists of purchasing exchange-traded and over-the-counter (“OTC”) put and call options on the equity or fixed income index or equity or fixed income ETFs and by purchasing total return swaps. When the Fund purchases a call option, the Fund has the right, but not the obligation, to buy a stock or other asset at a specified price (strike price) within a specific time period. When the Fund purchases a put option, the Fund has the right, but not the obligation, to sell a stock or other asset at a specified price (strike price) within a specific time period. The Fund will invest in total return swaps that use fixed income instruments or fixed income indexes or ETFs as reference assets, and equity indexes or equity ETFs.
The adviser selects derivatives based upon its evaluation of relative value based on cost, strike price (price that the option can be bought or sold by the option holder) and maturity (the last date the option contract is valid) and will exercise or close the options based typically on maturity. The adviser anticipates purchasing and selling its derivatives on a monthly, quarterly, and annual basis, depending upon the Fund’s rebalancing requirements and expiration dates. However, the adviser may rebalance the Fund’s derivative portfolio on a more frequent basis for a number of reasons such as when market volatility renders the protection provided by the derivative strategy ineffective or a derivative position has appreciated to the point that it is prudent to decrease the Fund’s exposure and realize gains for the Fund’s shareholders. While the use of derivatives is intended to improve the Fund’s performance, there is no guarantee that it will do so.
CDX - Performance
Return Ranking - Trailing
Period | CDX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
YTD | 10.0% | -39.9% | 6.2% | N/A |
1 Yr | 16.3% | -22.1% | 21.3% | N/A |
3 Yr | N/A* | -14.2% | 66.8% | N/A |
5 Yr | N/A* | -13.6% | 37.2% | N/A |
10 Yr | N/A* | -9.3% | 16.2% | N/A |
* Annualized
Return Ranking - Calendar
Period | CDX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
2023 | 6.7% | -44.3% | 3.7% | N/A |
2022 | N/A | -56.9% | 9.2% | N/A |
2021 | N/A | -53.7% | 70.9% | N/A |
2020 | N/A | -33.7% | 5.1% | N/A |
2019 | N/A | -9.4% | 12.0% | N/A |
Total Return Ranking - Trailing
Period | CDX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
YTD | 10.0% | -39.9% | 6.2% | N/A |
1 Yr | 16.3% | -22.1% | 22.2% | N/A |
3 Yr | N/A* | -14.2% | 66.8% | N/A |
5 Yr | N/A* | -13.6% | 37.2% | N/A |
10 Yr | N/A* | -9.3% | 16.2% | N/A |
* Annualized
Total Return Ranking - Calendar
Period | CDX Return | Category Return Low | Category Return High | Rank in Category (%) |
---|---|---|---|---|
2023 | 12.7% | -44.3% | 3.7% | N/A |
2022 | N/A | -56.9% | 9.2% | N/A |
2021 | N/A | -53.7% | 70.9% | N/A |
2020 | N/A | -33.7% | 5.1% | N/A |
2019 | N/A | -9.4% | 12.0% | N/A |
CDX - Holdings
Concentration Analysis
CDX | Category Low | Category High | CDX % Rank | |
---|---|---|---|---|
Net Assets | 154 M | 1.47 M | 26.2 B | 93.37% |
Number of Holdings | 14 | 2 | 2736 | 97.63% |
Net Assets in Top 10 | 154 M | -492 M | 2.55 B | 72.50% |
Weighting of Top 10 | 98.86% | 3.0% | 100.0% | N/A |
Top 10 Holdings
- United States Treasury Bill 65.38%
- United States Treasury Bill 17.50%
- United States Treasury Bill 16.00%
- SP 500 INDEX 0.01%
- SP 500 INDEX 0.00%
- SP 500 INDEX 0.00%
- SP 500 INDEX 0.00%
- SP 500 INDEX 0.00%
- SP 500 INDEX -0.01%
- TRS HYG INDEX -0.04%
Asset Allocation
Weighting | Return Low | Return High | CDX % Rank | |
---|---|---|---|---|
Bonds | 98.88% | 0.00% | 154.38% | 99.87% |
Cash | 2.06% | -52.00% | 100.00% | 0.26% |
Stocks | 0.00% | -0.60% | 52.82% | 34.08% |
Preferred Stocks | 0.00% | 0.00% | 14.10% | 99.74% |
Convertible Bonds | 0.00% | 0.00% | 17.89% | 99.87% |
Other | -0.94% | -63.70% | 32.06% | 99.34% |
Bond Sector Breakdown
Weighting | Return Low | Return High | CDX % Rank | |
---|---|---|---|---|
Cash & Equivalents | 0.00% | 0.00% | 99.98% | 1.84% |
Securitized | 0.00% | 0.00% | 97.24% | 99.87% |
Corporate | 0.00% | 0.00% | 100.00% | 95.13% |
Municipal | 0.00% | 0.00% | 1.17% | 99.60% |
Government | 0.00% | 0.00% | 99.07% | 99.60% |
Derivative | -0.94% | 0.00% | 45.95% | 99.60% |
Bond Geographic Breakdown
Weighting | Return Low | Return High | CDX % Rank | |
---|---|---|---|---|
US | 98.88% | 0.00% | 150.64% | 99.74% |
Non US | 0.00% | 0.00% | 96.17% | 98.55% |
CDX - Expenses
Operational Fees
CDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Expense Ratio | 0.51% | 0.02% | 3.87% | 84.65% |
Management Fee | 0.50% | 0.00% | 1.84% | 36.89% |
12b-1 Fee | N/A | 0.00% | 1.00% | 9.46% |
Administrative Fee | N/A | 0.00% | 0.50% | N/A |
Sales Fees
CDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Front Load | N/A | 0.00% | 5.75% | N/A |
Deferred Load | N/A | 1.00% | 5.00% | N/A |
Trading Fees
CDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Max Redemption Fee | N/A | 1.00% | 2.00% | N/A |
Related Fees
Turnover provides investors a proxy for the trading fees incurred by mutual fund managers who frequently adjust position allocations. Higher turnover means higher trading fees.
CDX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
---|---|---|---|---|
Turnover | N/A | 1.00% | 327.00% | N/A |
CDX - Distributions
Dividend Yield Analysis
CDX | Category Low | Category High | CDX % Rank | |
---|---|---|---|---|
Dividend Yield | 10.08% | 0.00% | 39.36% | 87.70% |
Dividend Distribution Analysis
CDX | Category Low | Category High | Category Mod | |
---|---|---|---|---|
Dividend Distribution Frequency | Monthly | Monthly | Monthly | Monthly |
Net Income Ratio Analysis
CDX | Category Low | Category High | CDX % Rank | |
---|---|---|---|---|
Net Income Ratio | N/A | -2.39% | 14.30% | N/A |
Capital Gain Distribution Analysis
CDX | Category Low | Category High | Capital Mode | |
---|---|---|---|---|
Capital Gain Distribution Frequency | Annually | Annually | Annually |
Distributions History
Date | Amount | Type |
---|---|---|
Aug 27, 2024 | $0.117 | ReturnOfCapital |
Aug 27, 2024 | $0.200 | OrdinaryDividend |
Jul 26, 2024 | $0.200 | OrdinaryDividend |
Jun 25, 2024 | $0.150 | OrdinaryDividend |
Apr 25, 2024 | $0.150 | OrdinaryDividend |
Mar 25, 2024 | $0.150 | OrdinaryDividend |
Feb 26, 2024 | $0.100 | OrdinaryDividend |
Jan 26, 2024 | $0.100 | OrdinaryDividend |
Dec 26, 2023 | $0.100 | OrdinaryDividend |
Nov 27, 2023 | $0.100 | OrdinaryDividend |
Oct 26, 2023 | $0.100 | OrdinaryDividend |
Sep 27, 2023 | $0.100 | OrdinaryDividend |
Aug 28, 2023 | $0.100 | OrdinaryDividend |
Jul 26, 2023 | $0.100 | OrdinaryDividend |
Jun 27, 2023 | $0.100 | OrdinaryDividend |
May 25, 2023 | $0.100 | OrdinaryDividend |
Apr 25, 2023 | $0.100 | OrdinaryDividend |
Mar 27, 2023 | $0.100 | OrdinaryDividend |
Feb 23, 2023 | $0.100 | OrdinaryDividend |
Jan 26, 2023 | $0.100 | OrdinaryDividend |
Dec 27, 2022 | $0.795 | OrdinaryDividend |
Nov 25, 2022 | $0.100 | OrdinaryDividend |
Oct 26, 2022 | $0.100 | OrdinaryDividend |
Sep 27, 2022 | $0.100 | OrdinaryDividend |
Aug 26, 2022 | $0.100 | OrdinaryDividend |
Jul 26, 2022 | $0.060 | OrdinaryDividend |
Jun 27, 2022 | $0.031 | ReturnOfCapital |
Jun 27, 2022 | $0.065 | OrdinaryDividend |
May 25, 2022 | $0.033 | ReturnOfCapital |
May 25, 2022 | $0.070 | OrdinaryDividend |
Apr 26, 2022 | $0.029 | ReturnOfCapital |
Apr 26, 2022 | $0.060 | OrdinaryDividend |
Mar 28, 2022 | $0.020 | ReturnOfCapital |
Mar 28, 2022 | $0.043 | OrdinaryDividend |
CDX - Fund Manager Analysis
Managers
Paul Kim
Start Date
Tenure
Tenure Rank
Feb 14, 2022
0.29
0.3%
Paul S. Kim has been with PGI since 2015. Previously, he was a senior vice president at PIMCO from 2009-2015. He earned a bachelor’s degree in Economics from Dartmouth College and an M.B.A. in Finance from The Wharton School at the University of Pennsylvania. Mr. Kim has earned the right to use the Chartered Financial Analyst designation.
Michael Green
Start Date
Tenure
Tenure Rank
Feb 14, 2022
0.29
0.3%
Michael Green is the managing director and chief strategist of Simplify Asset Management Inc. Prior to joining Simplify Asset, Michael served as partner, chief strategist and portfolio manager of Logica Capital Advisers, LLC, a Los Angeles-based hedge fund focused on derivative strategies from 2020 to 2021. Prior to Logica, Michael was portfolio manager for Thiel Macro, LLC, an investment firm that manages the personal capital of Peter Thiel from 2016 to 2019. Prior to Thiel, Michael founded Ice Farm Capital, a discretionary global macro hedge fund seeded by Soros Family Management.
David Berns
Start Date
Tenure
Tenure Rank
Feb 14, 2022
0.29
0.3%
David Berns, PhD, is the chief investment officer and co-founder of the Simplify Asset Management Inc. Prior to co-founding the Simplify Asset Management in 2020, he founded Portfolio Designer, LLC, a company that specializes in portfolio design and from 2018 to 2019 was a managing director at Nasdaq Dorsey Wright. Prior to joining Nasdaq Dorsey Wright, Inc., he founded and developed a company that specializes in proprietary trading. He has specialized in developing asset allocation, portfolio management, and risk management systems for managing private and institutional wealth. Mr. Berns has a PhD in Physics from the Massachusetts Institute of Technology in the field of Quantum Computation.
Harley Bassman
Start Date
Tenure
Tenure Rank
Feb 14, 2022
0.29
0.3%
Harley Bassman is a managing partner of the Adviser. In 2017, he founded and served as the chief investment officer for the Bassman Family Office and served as the editor for Convexity Maven, a macro-economic commentary. From 2014 to 2017, he was an executive vice-president at PIMCO, where he was responsible for PIMCO’s liquid alternatives and macro investment strategy.
Tenure Analysis
Category Low | Category High | Category Average | Category Mode |
---|---|---|---|
0.13 | 37.79 | 7.07 | 2.92 |