Understanding the GRANITESHARES YIELDBOOST META ETF (FBYY)

This report explains the data for the FBYY ETF. This is an educational guide to help you understand what the numbers mean. It is not financial advice.

1. What this ETF is trying to do

FBYY is a single-stock ETF. This means it focuses on one specific company rather than many different companies. It is also categorized as an "option income" ETF, which means it uses certain financial tools to try and generate cash for investors.

2. What the numbers show

When looking at ETF data, it is important to know the difference between "price return" and "total return."

• Price Return: This measures only how much the share price has changed. For FBYY, the Year-to-Date (YTD) price return is approximately -45.99%. This means the share price has dropped significantly since the start of the year.

• Total Return: This measures the share price change *plus* any cash distributions received. The YTD total return for FBYY is approximately -27.14%.

Because the total return (-27.14%) is higher than the price return (-45.99%), it shows that the cash distributions helped offset some of the losses caused by the falling share price.

3. Income and distribution explanation

This ETF has a very high distribution yield of approximately 58.69%. This number describes the cash distributions relative to the ETF's price.

The fund pays out money very frequently. In the last 12 months, there were 48 distributions, which is a weekly-like frequency. Most of these payments happen on Fridays. While high yields can provide cash income, a high yield alone does not mean an investor is making a profit.

4. NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). While the share price of FBYY has declined, a falling market price does not always prove that NAV erosion has happened.

In this specific case, the "severe erosion-risk flag" is not active. However, the fund's income rating grade is a "D," with an income rating score of 53.

5. Pros

• High Distribution Yield: The fund provides a very high percentage of cash distributions relative to its price.

• Frequent Income: Investors receive payments very often (nearly every week).

6. Cons

• Share-Price Decline: The ETF has experienced a significant YTD price return of approximately -45.99%.

• Single-Stock Risk: Because this is a single-stock ETF, it is tied to the performance of one company.

• Total Return is Negative: Despite the high distributions, the YTD total return is still negative at approximately -27.14%.

7. Beginner takeaway

When you see an ETF with a very high distribution yield, it is important to look at the total return. A high yield can provide cash, but if the share price is falling quickly, the overall value of your investment could still go down. Always distinguish between the cash you receive (distributions) and the change in the share price.