YieldMax SLTY Sets $0.2091 Weekly Distribution With 96.39% Estimated Return of Capital

YieldMax declared a weekly distribution of $0.2091 per share for the YieldMax Ultra Short Option Income Strategy ETF (SLTY) on Oct. 20. Payment is scheduled for Oct. 22, with Oct. 21 set as both the ex-date and record date. Shareholders of record on Oct. 21 qualify for the scheduled distribution.

The distribution is estimated to consist of 96.39% return of capital and 3.61% income. Return of capital is a return of invested principal, rather than traditional income such as interest or dividends. The final tax character for the year will be reported on Form 1099-DIV after year-end.

SLTY's 55.48% distribution rate annualizes the latest announced distribution against the fund's net asset value, using the Oct. 19 close. The rate reflects one distribution and does not measure total return. The fund's 30-day SEC yield was -0.25% for the period ended Sept. 30; that measure excludes option income.

SLTY seeks current income through short positions and options that provide inverse exposure to a group of equity securities. Its weekly distributions can vary or be zero. Return-of-capital distributions may reduce the fund's net asset value and trading price over time.