Virtus Stone Harbor Emerging Markets High Yield Bond ETF

Frequently Asked Questions About VEMY

What does VEMY invest in?

This Fund's primary objective is to generate current income for investors, with capital appreciation serving as a secondary goal. It employs an active and opportunistic investment strategy, strategically allocating assets across a diverse array of high-yield debt securities. These investments originate from emerging markets and encompass bonds issued by both national governments and private companies.

What is the expense ratio of VEMY?

Virtus Stone Harbor Emerging Markets High Yield Bond ETF (VEMY) charges an expense ratio of 0.55%. This is the annual fee deducted from fund assets to cover management and operations.

What is VEMY's distribution yield?

VEMY's trailing-twelve-month yield is 8.44%, calculated from the sum of distributions over the past year divided by the current price.

How does VEMY's covered-call strategy work?

VEMY 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.

What is the duration of VEMY?

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

What is the credit quality of VEMY?

VEMY'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.