Simplify US Equity Plus QIS ETF (SPQ)

Overview

The fund in question is focused on investing in the equity securities of United States-based entities. By dedicating at least 80% of its net assets towards such investments, the fund aims to capture the growth and dividends associated with U.S. companies. These investments span across various types of equity securities including common stock, preferred stock, and futures on common stock. The fund's advisor employs a broad definition of U.S. entities, encompassing those that are either organized within the United States, have securities primarily traded on U.S. markets, or have substantial economic ties to the U.S. through their revenues, earnings, workforce, assets, investments, or operational activities.

Products and Services

The fund's investment strategy is built around a diversified portfolio of equity securities, focusing largely on entities with significant U.S. ties. Below are the types of equity securities it invests in:

• Common Stock

  This includes shares of ownership in public U.S. companies, allowing investors to partake in the profits through dividends and capital gains. The inclusion of common stock in the portfolio aims to tap into the growth potential of these businesses.

• Preferred Stock

  Preferred stock combines features of both equity and debt instruments, offering fixed dividends and having priority over common stock in the event of bankruptcy. Investing in preferred stock provides a relatively stable income stream and potential appreciation in value.

• Futures on Common Stock

  These are derivative contracts that obligate the buyer to purchase or the seller to sell the underlying common stock at a predetermined price and date. Including futures on common stock allows the fund to hedge against market volatility and potentially leverage market trends.

The advisory approach for selecting these securities rests on a comprehensive definition of U.S. entities, ensuring that investments are made not just in companies based in the U.S. but also in those with a significant portion of their business activities linked to the U.S. economy. This strategy is aimed at providing investors exposure to the U.S. market's growth while minimizing risks associated with non-U.S. entities.