Roundhill Magnificent Seven Covered Call ETF

Frequently Asked Questions About MAGY

What does MAGY invest in?

The manager seeks to achieve its investment objectives through a covered call strategy, pursuant to which the fund purchases shares of the Roundhill Magnificent Seven ETF (the “MAGS ETF”) and simultaneously sells out-of-the-money call options that utilize the MAGS ETF as the reference asset (“MAGS ETF Call Options”), providing for current income on a weekly basis. The fund is non-diversified.

What is the expense ratio of MAGY?

Roundhill Magnificent Seven Covered Call ETF (MAGY) charges an expense ratio of 1.28%. This is the annual fee deducted from fund assets to cover management and operations.

What is MAGY's distribution yield?

MAGY's trailing-twelve-month yield is 38.13%, 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 MAGY's covered-call strategy work?

MAGY 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 MAGY?

Roundhill Magnificent Seven Covered Call ETF (MAGY) manages $108.3M 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 MAGY actively managed or an index fund?

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