Global X Funds - Global X Treasury Bond Enhanced Income ETF

Frequently Asked Questions About TLTX

What does TLTX invest in?

TLTX seeks current income and capital appreciation by investing in long-term US Treasury securities, including STRIP and/or ETFs with exposure to similar securities. The fund targets a portfolio with a duration of approximately 20 years. To generate income, the fund writes call options on US Treasury ETFs using standardized exchange-traded and FLEX options. The options strategy intends to limit sensitivity to declines in interest rates but will not limit its sensitivity when rates increase. The strategy generates income as share price from the ETFs increase, stay flat, or decrease slightly, but foregoes gains when share prices increase significantly. The fund may use European or American style options. European options can only be exercised at expiration and are settled in cash, while American options can be exercised at any time and are physically settled. To maintain its potential for capital appreciation, TLTX limits the sale of call options to only a portion of the funds net assets.

What is the expense ratio of TLTX?

Global X Funds - Global X Treasury Bond Enhanced Income ETF (TLTX) charges an expense ratio of 0.29%. This is the annual fee deducted from fund assets to cover management and operations.

What is TLTX's dividend yield?

TLTX's trailing-twelve-month yield is 18.57%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of TLTX?

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

What is the credit quality of TLTX?

TLTX'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 TLTX?

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