First Trust Bloomberg Shareholder Yield ETF

Frequently Asked Questions About SHRY

What does SHRY invest in?

The First Trust Bloomberg Shareholder Yield ETF (SHRY) aims to replicate the overall performance of the Bloomberg Shareholder Yield Index, an equity benchmark. Its objective is to mirror the index's total return—both capital appreciation and income—before accounting for the ETF's own management fees and expenses. Typically, under normal market circumstances, SHRY allocates a minimum of 80% of its net assets, including any assets acquired through borrowing for investment, directly into the underlying securities that constitute this index.

What is the expense ratio of SHRY?

First Trust Bloomberg Shareholder Yield ETF (SHRY) charges an expense ratio of 0.60%. This is the annual fee deducted from fund assets to cover management and operations.

What is SHRY's distribution yield?

SHRY's trailing-twelve-month yield is 1.55%, calculated from the sum of distributions over the past year divided by the current price.

How does SHRY's covered-call strategy work?

SHRY 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 SHRY?

First Trust Bloomberg Shareholder Yield ETF (SHRY) manages $16.8M 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 SHRY actively managed or an index fund?

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