YieldMax™ ETFs Announces Distributions on MSTY ($2.2792), SMCY ($1.7215), SQY ($0.6338), YMAX ($0.1118), YMAG ($0.0500) and Others

Investment Strategies and Risks - The Fund's put writing strategy impacts its participation in the value decreases of the underlying reference asset, affecting returns during and beyond the term of sold put options [1] - The Fund's call writing strategy limits its participation in the positive price returns of the underlying reference asset, affecting returns during and beyond the term of sold call options [13] - The Fund's synthetic covered put strategy involves purchasing and selling call and put options, exposing it to risks similar to shorting the underlying reference asset, with potential significant losses if the asset's value increases [8][39] - The Fund's strategy includes purchasing out-of-the-money (OTM) call options to cap potential losses from short exposure, but these options only cap losses if the underlying asset's value increases above the strike level [29] ETF Distributions and Performance - YieldMax™ ETFs announced distributions for various ETFs, with amounts and frequencies varying significantly across different funds [3][46] - Distributions for the ETFs are variable and may be zero, with no guarantee of distributions or rights to dividends from the underlying reference assets [2][9][43] - Each ETF's strategy caps potential gains if the reference asset's shares increase in value, while exposing investors to all potential losses if the asset's shares decrease in value [47] Options and Derivatives Risks - The use of options contracts involves volatile prices influenced by changes in the underlying asset's value, volatility, time to expiration, and economic events [4][32] - Derivatives pose additional risks, including market risk, imperfect correlation, higher price volatility, counterparty risk, liquidity risk, and legal restrictions [15][31] - The Fund is subject to counterparty risk through its investments in options contracts, with cleared derivatives held through accounts at clearing members [14][30] Market and Asset-Specific Risks - The Fund invests in options based on the VanEck Gold Miners ETF (GDX®), exposing it to risks associated with Canadian, Australian, and Emerging Market issuers, as well as small- and medium-capitalization companies [5] - Digital assets like Bitcoin are an emerging asset class with extreme price volatility and regulatory risks, and the Fund does not provide direct exposure to Bitcoin's spot price [6][21][27] - The Fund is exposed to risks associated with foreign securities, including currency fluctuations, political instability, and varying regulatory requirements [22][24][25] Portfolio and Operational Risks - The Fund may have high portfolio turnover, increasing transaction costs and expenses, and may hold illiquid securities, particularly during market turmoil [16][34] - As a non-diversified fund, it may invest a greater percentage of its assets in a single issuer or a smaller number of issuers, increasing volatility [17][36] - The Fund is a new investment company with no operating history, making it difficult for investors to base decisions on past performance [18][35] Inflation and Index-Related Risks - Inflation risk may decrease the value of the Fund's assets and distributions over time [20][37] - The Fund's synthetic covered put strategy based on the Nasdaq 100 Index exposes it to risks if the Index level increases, potentially leading to significant losses [38][39] - The Fund's ability to benefit from Index level decreases depends on market conditions, volatility, and the value of options contracts, which may not inversely correlate with Index returns on a day-to-day basis [41]