Important Disclosure. General solicitation under Rule 506(c). For accredited and professional investors only. This is not an offer or recommendation. Access to documents requires accredited verification. Any subscription is made solely by the current private placement memorandum and executed agreements.
High Yield Covered Call ETF Fund 506(c) for Accredited Investors
This page complements your monthly income page. That page covers outcomes. Here we focus on access terms, controls, and reporting so investors can judge fit. The fund allocates to high yield covered call ETFs with rules for strikes, tenor, hedging, and a small cash or T bill sleeve. Distributions vary. Capital is at risk.
Fit. Accredited investors seeking USD income, who accept equity and volatility risk, and want rule based execution with clear reports.
Investor Snapshot
| Item | Summary |
|---|---|
| Exemption | Rule 506(c) with accredited verification before documents are shared |
| Objective | Monthly USD distributions from option premium and ETF payouts |
| Target Range | 12 to 16 percent annualized distribution target. Not guaranteed |
| Universe | Large, liquid covered call ETFs on major indices and sectors |
| Risk Controls | Strike bands, short tenors, collars or puts at drawdown triggers, cash or T bill sleeve |
| Capacity | Soft close at 25,000,000 USD. New subscriptions at manager discretion |
| Minimum | 250,000 USD |
| Subscriptions | Acceptances per PPM. Cutoff and funding windows apply |
| Redemptions | Per PPM with notice. Gates or fees may apply |
| Fees | Management and performance terms per PPM. Investors bear ETF expense ratios and operating costs |
| Reporting | Monthly statements and risk pack. Quarterly review on request |
| Tax | Distributions may include return of capital. Individual outcomes vary |
Full terms are provided only after accredited verification.
Process and Controls
Strikes and Delta
Systematic strike bands (for example 10 to 30 delta) with adjustments for skew, macro windows, and realized versus implied variance.
Tenor and Rolls
Short tenors to capture time decay. Early rolls when carry decays. Avoid illiquid expiries.
Hedges and Buffers
Collars or puts when drawdown markers are breached. Small cash or T bill sleeve funds hedges and reduces forced selling.
Position Limits
Single ETF and sector caps with ADV and spread screens to control concentration and trading impact.
Execution Quality
Order throttles by ADV, spread guards, and staged entries during volatility spikes.
Transparency
Coverage ratios, roll logs, holdings view, and variance checks in monthly reports.
Operations and Governance
| Role | Firm |
|---|---|
| Administrator | Independent third party administrator. Designated in current PPM |
| Auditor | Independent public accounting firm. Designated in current PPM |
| Custody | Qualified custodian. Designated in current PPM |
| Prime or Brokerage | Registered broker dealer. Designated in current PPM |
| Legal Counsel | Securities counsel. Designated in current PPM |
| Compliance | Best execution, allocation, conflicts, and valuation policies in place |
Service providers may change. Final names appear in current offering documents.
How To Request Access
Cutoffs, dealing terms, and fees are defined in the PPM and subscription booklet.
Request 506(c) Access
After accredited verification, we share the PPM, subscription pack, sample monthly report, fee schedule, and risk disclosures.
Email To Request AccessFAQs
Is the distribution target guaranteed
No. Distributions vary with option premia, ETF payouts, and market conditions. Shortfalls can occur.
Will payouts include return of capital
They can. Classification follows accountant determination. See statements and tax forms.
Do you use leverage
No structural leverage at the fund level. ETFs follow their prospectuses.
Who can invest
Only investors who pass accredited verification under Rule 501. Non U.S. investors must meet local rules.
How do you handle stress periods
Rule based protection triggers, staged execution, spread guards, and a small cash sleeve to support hedges.
What reports will I receive
Monthly statement, holdings view, coverage ratios, roll activity, and risk pack as permitted by documents.
Disclaimers. Marketing material. Not investment, legal, tax, or accounting advice. Past performance does not guarantee future results. Investing involves risk, including loss of principal. Options involve risk and are not suitable for all investors. Covered call strategies cap upside and can accelerate losses in down markets. Distribution rates vary with volatility and can include return of capital. Any tax character of distributions is subject to accountant determination and may change. ETF holdings introduce equity, options, liquidity, tracking, and counterparty risks. References to third party ETFs and issuers are for information only. Trademarks belong to their owners. We are not affiliated with BlackRock, iShares, Fidelity, Global X, JPMorgan, KraneShares, YieldMax, or any other issuer mentioned. This page does not solicit the purchase or sale of any security. The 506(c) offering, if any, is available only to accredited investors who complete verification and receive current offering documents. No offer or sale in any jurisdiction where unlawful. Non U.S. persons must comply with local rules and restrictions. U.S. ERISA investors should consult counsel regarding plan eligibility. Conflicts of interest can exist where fees are charged. Read the current private placement memorandum and executed agreements. They control over any summary here.
