- What does LQ invest in?
- The Simplify Tax Aware Alternatives ETF (LQ) seeks long-term capital appreciation by investing in a diverse selection of alternative strategies. Such strategies may include managed futures, foreign currencies, commodities, energy, and other strategy types that can diversify a traditional stock and bond portfolio. By combining alternative strategies with low correlations to stocks and bonds, LQ seeks to diversify a portfolio and help manage downside risk. In addition, it will employ a variety of strategies that seek to minimize the impact of taxes, increasing its utility when held in taxable accounts and for non-U.S. investors subject to dividend withholding taxes.Representative Allocation* Simplify Managed Futures Strategy ETF (CTA) 25%Simplify Currency Strategy ETF (FOXY) 25%Simplify Treasury Option Income ETF (BUCK) 15%Simplify Hedged Equity ETF (HEQT) 15%Simplify Gold Strategy ETF (YGLD) 10%Simplify Kayne Anderson Energy and Infrastructure Credit ETF (KNRG) 10%*The Fund gains exposure to these underlying ETFs through swaps, not actual cash shares. The allocations may change at any time.
- What is the expense ratio of LQ?
- Simplify Tax Aware Alternatives ETF (LQ) charges an expense ratio of 0.25%. This is the annual fee deducted from fund assets to cover management and operations.
- What is LQ's distribution yield?
- LQ's trailing-twelve-month yield is 0.21%, calculated from the sum of distributions over the past year divided by the current price.
- How does LQ's covered-call strategy work?
- LQ 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.
- What is the duration of LQ?
- Effective duration measures LQ's sensitivity to interest-rate changes — a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. LQ's current duration is published on the fund's factsheet on the issuer's website.
- What is the credit quality of LQ?
- LQ'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.
