YieldMax Universe Fund of Option Income ETFs (YMAX US) – Portfolio Construction Methodology

The investment strategy guiding the actively managed YieldMax Universe Fund of Option Income ETFs seeks to generate current income by allocating primarily to a diversified universe of affiliated YieldMax ETFs that each implement synthetic covered call and covered call spread strategies on individual equities, ETFs or ETPs. As a fund of funds, it typically holds a broad basket of option-income YieldMax ETFs whose embedded structures combine synthetic long exposure to their underlying securities with systematically written call options and, at times, credit call spreads, collateralized by US Treasuries. Portfolio construction emphasises diversification across eligible Underlying YieldMax ETFs, subject to eligibility screens that exclude products with target or defined annual income features, with holdings rebalanced monthly and updated as new strategies season. Overall risk exposure is shaped by the options-based payoff profiles of the underlying funds, which cap upside participation while leaving full downside to their underlying securities.

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