FundX Flexible ETF (XFLX)

Overview

The ETF operates as an innovative investment vehicle known as an ETF-of-ETFs. This unique approach involves the fund primarily investing in a diverse range of other exchange-traded funds (ETFs) rather than directly in individual securities. The underlying ETFs it invests in are engaged in buying individual securities, including common stocks, and corporate or government bonds. This strategy allows the ETF to diversify its investment portfolio across various asset classes and sectors while maintaining liquidity and trading flexibility characteristic of ETFs. Primarily, under normal market conditions, the focus is on investing in Bond underlying ETFs. These selected ETFs have differing characteristics in terms of maturity periods, credit quality — which also encompasses investments in high-yield securities, popularly known as “junk bonds” — and geographical exposure. This layering of investments makes the ETF a suitable option for investors looking for diversified exposure in the fixed income space with a nuanced risk-return profile.

Products and Services

• Bond Underlying ETFs

  The ETF specializes in investing in a range of bond underlying ETFs. These bond ETFs come with varied features including different maturity lengths, from short-term to long-term bonds, allowing investors to align their investment with their financial goals and time horizons. The spectrum of credit quality in these bond ETFs extends from investment-grade to high-yield securities, also known as junk bonds. This wide range accommodates investors with diverse risk appetites, offering opportunities for both conservative investors seeking stability and more aggressive investors looking for higher returns. Additionally, the global exposure of these bond ETFs provides a geographical diversification, enabling investors to benefit from the dynamics of international bond markets alongside domestic opportunities.