Performance
Performance data quoted represent past performance. Past performance is no guarantee of future results and investment returns and principal value of the Funds (or of the investment company) will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance quoted. Call 1-833-X-SQUARE or (if applicable) visit www.x2etfs.com for current month end performance. An investor should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing.
Market price returns reflect the midpoint of the bid/ask spread at 4:00 p.m. Eastern time. Market price returns do not represent the returns you would receive if you traded shares at other times.
Investing involves risks, including loss of principal.
Fund Details
Objective & Strategy
X-Square Municipal Income ETF (the “Fund”) seeks to provide income exempt from federal income tax.
The Fund is an actively managed exchange-traded fund (“ETF”) that seeks to achieve its investment objective by investing in a non-diversified portfolio of U.S. dollar-denominated municipal securities issued by Puerto Rico, Guam and the U.S. Virgin Islands.
Under normal market conditions, the Fund invests at least 80% of its assets (defined as net assets plus any borrowing for investment purposes, if any) in tax-exempt municipal securities, the income from which is exempt from both federal and state income tax (“80% investment policy”). The Fund expects to invest up to 100% of its assets in tax-exempt municipal securities issued by Puerto Rico, Guam and the U.S. Virgin Islands. Municipal securities may be of any maturity, duration or credit rating including those rated below investment grade (commonly known as “junk bonds”). The Fund considers non-investment grade fixed income securities to be those that are rated lower than Baa3 by Moody’s Investors Service (“Moody’s”) or lower than BBB- by Standard and Poor’s Rating Group (“S&P”).
The Fund’s adviser identifies municipal security investments by analyzing the issuer’s legal and economic fundamentals, strength and quality of revenues and other fundamentals.
The Fund is a “non-diversified” fund which means that the Fund may invest in fewer securities at any one time than a diversified fund.
If you are subject to U.S. federal income tax, you will be subject to tax on taxable Fund distributions, other than exempt-interest dividends paid by the Fund, as discussed in the Prospectus. For federal income tax purposes, taxable Fund distributions will be taxable to you as either ordinary income or capital gains. Fund distributions of long-term capital gains are taxable to you as long-term capital gains no matter how long you have owned your Shares. For more information, please refer to our Prospectus, mainly the ‘Taxes on Distributions’ section.
The ETF does not follow an index. Furthermore, investments following ETF strategy cannot be made directly into an index.
Portfolio Management
Premium Discount
| Days Traded at Premium | Days Traded at Discount | |
|---|---|---|
Performance data quoted represent past performance. Past performance is no guarantee of future results so that shares, when redeemed may be worth more or less than their original cost. The investment return and principal value will fluctuate. Current performance may be higher or lower than the performance quoted.
*A Basis Point is a unit that is equal to 1/100th of 1% and is used to denote the change in a financial instrument.
The above frequency distribution chart presents information about the difference between the daily market price for shares of the Fund and the Fund's reported net asset value. The amount that the fund's market price is above the reported NAV is called the premium. The amount that the fund's market price is below the reported NAV is called the discount. The market price is determined using the midpoint between the highest bid and the lowest offer on the listing exchange, as of the time that the Fund's NAV is calculated (usually 4:00 pm Eastern time). The horizontal axis of the chart shows the premium or discount expressed in basis points. The vertical axis indicates the number of trading days in the period covered by the chart. Each bar in the chart shows the number of trading days in which the Fund traded within the premium/discount range indicated.
