What this ETF is trying to do

The AMPLIFY LITHIUM & BATTERY TECHNOLOGY ETF (ticker: BATT) is designed to invest in companies involved in the lithium and battery technology sectors. This includes businesses that work with electric vehicle components and the minerals needed to power them. The fund holds a total of 53 different holdings.

Top Holdings

Based on the most recent data, some of the largest companies in this portfolio include:

• TESLA INC (7.78%)

• BHP GROUP LTD (6.95%)

• FREEPORT-MCMORAN INC (6.37%)

• CONTEMPORARY AMPEREX TECHNOLOGY CO LTD CLASS A (5.41%)

• BLOOM ENERGY CORP CLASS A (5.29%)

• BYD CO LTD CLASS H (4.50%)

Please note that these are only the top holdings and the list is partial. Holdings can change over time.

What the numbers show

The data shows how the share price and total value of the ETF have moved over different periods. It is important to know that price return only tracks the change in the share price, while total return includes both the price change and any distributions paid out.

• Year-to-Date (YTD): The YTD price return is approximately 7.54%. For this period, the total return is also approximately 7.54%.

• One Year: The one-year price return was approximately 11.41%. However, the one-year total return was higher at approximately 13.46%.

• Three Years: The three-year price return was approximately 35.53%, while the three-year total return was approximately 46.97%.

An estimated price from roughly one year ago was $13.32. The current price is $14.84.

Income and distribution explanation

BATT provides some level of cash income through distributions. The current distribution yield is approximately 1.72%. This number describes the cash paid out relative to the ETF's price.

The distribution frequency is described as "irregular" or "less frequent," with only one payout recorded in the last 12 months. Because the frequency is irregular, investors should not rely on a steady monthly or quarterly schedule for this income.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.

Regarding price-based evidence, the fund has an erosion score of 100, which is labeled as "No price erosion detected." The erosion severity is rated as "good," and there is no severe erosion-risk flag present.

Pros

• Strong Total Returns: Over the last three years, the total return (46.97%) has significantly outperformed the simple price return (35.53%), meaning distributions added value to the investment.

• Positive Price Trend: The fund has shown positive price returns across one-year, three-year, and YTD timeframes.

Cons

• Irregular Income: The distributions are not frequent, which may make it difficult for investors who need regular cash flow.

• Sector Specific: The fund is focused on specific battery and lithium technologies, which may behave differently than the broader stock market.

Beginner takeaway

BATT is an ETF focused on battery technology. While it offers a modest distribution yield, its historical performance shows that the total return has been higher than the share-price return alone. This indicates that distributions have contributed to the overall value over time. Always remember that a distribution yield is not the same as total return, and past performance does not guarantee future results.