Amplify ETFs has announced that the Amplify YieldShares Senior Loan and Income ETF (YESR US) is to close.

The last day of trading in the fund will be 4 October 2018.

Currently listed on NYSE Arca, the fund will have its last trading day on 4 October 2018.

The ETF tracks the Prime Senior Loan and Income CEF Index, maintained and sponsored by Prime Indexes.

The index provides exposure to US-listed, dividend-paying, closed-end funds (CEFs) that invest at least 80% of their assets in floating rate senior loans and other floating rate instruments.

CEFs are collective investment models based on issuing a fixed number of shares which are not redeemable from the fund. These listed investment vehicles often trade at a premium or discount to NAV as a result of market technicals and sentiment.

The fund has a punchy expense ratio of 2.15%, although this price tag is actually in line with similar ETFs due to the costs involved in acquiring the underlying CEFs. The $710m Invesco CEF Income Composite ETF (PCEF US), for example, comes with an expense ratio of 2.02%.

Following its de-listing from the exchange, the ETF will begin the process of liquidating its portfolio. Proceeds from the liquidation will be sent to shareholders around 19 October 2018.