GraniteShares YieldBOOST BABA ETF

Frequently Asked Questions About BBYY

What does BBYY invest in?

The Fund primarily seeks to generate income equivalent to double (200%) that derived from selling options on Alibaba Group Holding Limited (NASDAQ: BABA). This is accomplished by selling options on specific leveraged exchange-traded funds (ETFs) that are themselves designed to provide twice (200%) the daily performance of Alibaba stock. A secondary objective of the Fund is to offer exposure to the performance of these leveraged ETFs, although with an imposed cap on potential investment gains. Additionally, downside protection mechanisms may be employed, which could, in turn, impact the overall net income achieved.

What is the expense ratio of BBYY?

GraniteShares YieldBOOST BABA ETF (BBYY) charges an expense ratio of 1.07%. This is the annual fee deducted from fund assets to cover management and operations.

What is BBYY's distribution yield?

BBYY's trailing-twelve-month yield is 115.65%, calculated from the sum of distributions over the past year divided by the current price. A rate this high reflects large option-premium distributions against a NAV that has declined over the same period — part of each payout may be return of capital rather than earned income.

How does BBYY's covered-call strategy work?

BBYY sells call options against the stocks (or index) it holds, collecting premium income that gets passed through to shareholders as distributions. The strategy generates above-market income in flat or rising markets but caps upside — when the underlying rallies past the strike, the gains above the strike go to the option buyer, not the fund.

How big is BBYY?

GraniteShares YieldBOOST BABA ETF (BBYY) manages $656,653 in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure — funds below ~$50M are at higher risk of liquidation.

Is BBYY actively managed or an index fund?

BBYY's management style is described in the fund's prospectus. See the description on the Summary tab for the published strategy.