Simplify High Yield ETF

Frequently Asked Questions About CDX

What does CDX invest in?

The Simplify High Yield ETF (CDX) is engineered to generate substantial current income. It achieves this by primarily allocating its capital to high-yield bonds, while simultaneously deploying strategies to reduce inherent credit risk. CDX offers foundational exposure to the high-yield market, delivering appealing income streams, and is fortified by a diverse array of dynamic and effective credit hedging techniques. Its principal hedging mechanism is rooted in a Quality-Junk factor. Furthermore, the ETF opportunistically invests in CDX call options and equity put options, assessing opportunities based on advantageous cost-to-payout ratios.

What is the expense ratio of CDX?

Simplify High Yield ETF (CDX) charges an expense ratio of 0.50%. This is the annual fee deducted from fund assets to cover management and operations.

What is CDX's dividend yield?

CDX's trailing-twelve-month yield is 8.35%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of CDX?

Effective duration measures CDX's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. CDX's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of CDX?

CDX's credit quality breakdown — the share of holdings rated AAA through CCC and below — is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of CDX?

Yield to maturity (YTM) is the total return you'd earn from CDX if every bond in the portfolio is held to maturity at the current price. CDX's YTM is published on the fund's factsheet on the issuer's website — it differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.