New exchange-traded fund provider YieldShares has listed its debut ETF – The YieldShares High Income ETF (YYY) – on the NYSE Arca.
According to a regulatory filing made with the US Securities and Exchange Commission, the new ETF, which will have a total annual operating expense of 1.65% per cent, employs an income-focused funds of funds strategy that seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the ISE High Income Index.
The index will invest in 30 US exchange-listed closed-end funds which must have a market capitalisation of at least USD500m and a six month daily average value traded of at least USD1m.
The underlying funds may invest in a variety of securities including, but not limited to, equity securities (both dividend and non-dividend paying), taxable investment grade fixed income securities, taxable high yield fixed income securities, investment grade municipal securities, high yield municipal securities, preferred securities, convertible securities, commodities, real-estate related securities, including real estate investment trusts (REITs), and derivatives.
