YieldMax Short COIN Option Income Strategy ETF

Frequently Asked Questions About FIAT

What does FIAT invest in?

The YieldMax Short COIN Option Income Strategy ETF (FIAT) is an actively managed exchange-traded fund with the primary objective of generating consistent weekly income. It achieves this by employing a synthetic covered put strategy that focuses on Coinbase Global Inc. (COIN). This approach is designed to collect premiums from options contracts, thereby providing the fund with inverse exposure, or a short position, to the price movements of COIN shares. To manage potential risks, the fund incorporates hedging through the acquisition of call options.

What is the expense ratio of FIAT?

YieldMax Short COIN Option Income Strategy ETF (FIAT) charges an expense ratio of 1.05%. This is the annual fee deducted from fund assets to cover management and operations.

What is FIAT's distribution yield?

FIAT's trailing-twelve-month yield is 109.97%, 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 FIAT's covered-call strategy work?

FIAT 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 FIAT?

YieldMax Short COIN Option Income Strategy ETF (FIAT) manages $29.2M 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 FIAT actively managed or an index fund?

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