Tidal Trust II - Defiance Daily Target 2X Short SPCX ETF

Frequently Asked Questions About SPCQ

What does SPCQ invest in?

SPCQ uses swap agreements and short-dated listed call options to make bearish bets on the share price of Space Exploration Technologies Corp. Class A (NASDAQ: SPCX). SPCX operates as an aerospace manufacturer, launch service provider, and satellite communications company. It develops and operates the Starlink satellite constellation and builds artificial intelligence tools. The fund seeks to maintain daily inverse leveraged exposure equivalent to -200% of the daily percentage change in SPCX price through daily rebalancing. Returns may deviate from the expected -2x if held for longer than a single day due to factors such as volatility and compounding effects. The fund expects to invest in US Government securities, money market funds, short-term bond ETFs, and corporate debt as collateral.

What is the expense ratio of SPCQ?

Tidal Trust II - Defiance Daily Target 2X Short SPCX ETF (SPCQ) charges an expense ratio of 1.31%. This is the annual fee deducted from fund assets to cover management and operations.

What is the duration of SPCQ?

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

What is the credit quality of SPCQ?

SPCQ'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 SPCQ?

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

Is SPCQ a good long-term hold?

SPCQ is a leveraged fund designed to deliver a daily multiple of its underlying index. Daily reset compounding means returns over multi-day periods can diverge significantly from the headline multiple, typically with negative drift in choppy markets. These funds are designed for short-term tactical use, not buy-and-hold. Review the fund's prospectus before holding more than a few days.