NEW YORK–(BUSINESS WIRE)–Strategy Shares, a family of exchange traded funds (ETFs) focused on bringing unique strategies to the ETF marketplace, today announced that the Strategy Shares Nasdaq 7HANDL™ Index ETF (HNDL) has reached its three-year anniversary and was awarded the highest rating by Morningstar. HNDL is rated 5-stars1 as of 1/31/2021 out of 518 funds in the Morningstar US Allocation – 30% to 50% Equity category, based on three-year risk-adjusted returns.
“We believe HNDL has done a great job of delivering shareholders strong risk-adjusted returns while maintaining a compelling distribution rate,” stated Jerry Szilagyi, CEO of Rational Advisors, Inc., the investment advisor for Strategy Shares ETFs. “Since inception, HNDL’s 7% distribution rate has offered an attractive option for addressing the challenges of meeting cash flow needs in a near zero-yield world.”
HNDL is a first-of-its-kind target distribution ETF designed to seek investment results that correlate generally, before fees and expenses, to the price and yield performance of the Nasdaq 7HANDL™ Index. The index is split into two components, with a 50% allocation to fixed income and equity ETFs (the “Core Portfolio”) and a 50% allocation to a “Dorsey Wright Explore Portfolio,” a tactical allocation with U.S. fixed-income, U.S. blend, U.S. equity and U.S. alternative assets, or categories that have historically provided high levels of income.
HNDL has adopted a policy to pay monthly distributions on Fund shares at a target rate that represents an annualized payout of approximately 7.0% on the Fund’s per-share net asset value on the date of a distribution’s declaration. All or a portion of a distribution may consist of a return of capital.
For more information on HNDL and Strategy Share’s ETF offerings, please visit: www.StrategySharesETFs.com.
About Strategy Shares
Strategy Shares is a family of exchange traded funds (ETFs) focused on bringing unique strategies to the ETF marketplace. Currently, Strategy Shares offers two ETFs: the Strategy Shares Nasdaq 7HANDL™ Index ETF (HNDL) and the Strategy Shares Newfound/ReSolve Robust Momentum ETF (ROMO). For more information on Strategy Shares and its fund offerings, please visit: www.StrategySharesETFs.com.
Investors should carefully read and consider the investment objectives, risks, charges and expenses of the Nasdaq 7HANDLTM Index ETF. This and other important information about the Fund are contained in the full or summary prospectus, which can be obtained by calling (855) HSS-ETFS (855-477-3837) or at www.StrategySharesETFs.com. The Strategy Shares are distributed by Foreside Fund Services, LLC, which is not affiliated with Rational Advisors, Inc., or any of its affiliates.
Important Risk Information
Investment in a fund of funds is subject to the risks and expenses of the underlying funds. Diversification and asset allocation may not protect against market risk or loss of principal. Certain sectors and markets perform exceptionally well based on current market conditions and the Nasdaq 7HANDLTM Index ETF can benefit from that performance. Achieving such exceptional returns involves the risk of volatility and investors should not expect that such results will be repeated. The use of leverage can amplify the effects of market volatility on the Fund’s share price and make the Fund’s returns more volatile. The use of leverage may cause the Fund to liquidate portfolio positions when it would not be advantageous to do so in order to satisfy its obligations. The use of leverage may also cause the Fund to have higher expenses than those of funds that do not use such techniques.
HANDLS™ and HANDL™ are trademarks of Bryant Avenue Ventures LLC and have been licensed for use by Rational Advisors, Inc. Shareholders should not assume that the source of a distribution from the Fund is net profit. Shareholders should note that return of capital will reduce the tax basis of their shares and potentially increase the taxable gain, if any, upon disposition of their shares. The distribution rate may be modified at any time. Shares of this ETF are bought and sold at market price (not NAV) and are not individually redeemed from the ETF. Brokerage commissions will reduce returns.
1Past performance is no guarantee of future results. Ratings reflect fee waivers in effect; in their absence, ratings may have been lower.
© 2021 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Morningstar Rating TM for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life sub-accounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The Morningstar Rating does not include any adjustment for sales loads. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics.