Texas Capital Government Money Market ETF

Frequently Asked Questions About MMKT

What does MMKT invest in?

MMKT is the first ETF to comply with Rule 2a-7 of the 1940 Act, technically qualifying as a government money market fund. The rule is designed to preserve stability and liquidity, ensuring that redemption requests can be fulfilled. However, MMKT will not maintain a stable net asset value (NAV) of $1. The fund will allocate at least 99.5% of its assets to cash, US government securities, or fully collateralized repurchase agreements. The objective is to generate competitive yields while preserving capital. Note that a significant portion of the funds assets are overnight repurchase agreements, and income from these may not be exempt from state and local taxes, which could affect the after-tax yield compared to traditional government securities.

What is the expense ratio of MMKT?

Texas Capital Government Money Market ETF (MMKT) charges an expense ratio of 0.20%. This is the annual fee deducted from fund assets to cover management and operations.

What is MMKT's dividend yield?

MMKT's trailing-twelve-month yield is 3.61%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of MMKT?

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

What is the credit quality of MMKT?

MMKT'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 MMKT?

Yield to maturity (YTM) is the total return you'd earn from MMKT if every bond in the portfolio is held to maturity at the current price. MMKT'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.