OMAH: VISTASHARES TARGET 15 BERKSHIRE SELECT INCOME ETF
ETF Education Report: VISTASHARES TARGET 15 BERKSHIRE SELECT INCOME ETF (OMAH)
What this ETF is trying to do
The VISTASHARES TARGET 15 BERKSHIRE SELECT INCOME ETF (ticker: OMAH) is an exchange-traded fund that holds a variety of different companies. Based on its top holdings, it includes well-known names like Apple Inc., Berkshire Hathaway Inc., and American Express Co. This ETF holds a total of 139 different companies, though the list provided below only shows the largest ones.
Top Holdings
The following are the top holdings in this portfolio (note that this is a partial list):
• Apple Inc. (11.76%)
• Berkshire Hathaway Inc. Class B (9.33%)
• American Express Co (8.68%)
• Coca-Cola Co (5.95%)
• Chevron Corp (4.99%)
• Moodys Corp (4.77%)
• Occidental Petroleum Corp (4.70%)
• The Kroger Co (4.59%)
• Bank of America Corp (4.56%)
• The Kraft Heinz Co (4.52%)
What the numbers show
It is important to understand that "price return" and "total return" tell different stories. Price return only tracks how the share price moves. Total return includes both the price movement and the cash distributions paid out to investors.
• Year-to-Date (YTD): The price return is approximately -6.46%. However, the YTD total return is approximately 4.72%.
• One-Year: The one-year price return is approximately -8.65%. However, the one-year total return is approximately 6.16%.
To see how the share price has changed, we can look at the current price of $17.53 compared to an estimated price from roughly one year ago, which was approximately $19.19.
Income and distribution explanation
This ETF has a high distribution yield of approximately 15.92%. This means the cash distributions are quite large compared to the ETF's price. The trailing distributions over the last year were approximately $2.79 per share. These payments usually happen monthly, with Monday being the most common day for a payout.
While high yields can provide cash income, they do not guarantee that your original investment will stay the same value.
NAV erosion explanation
"NAV erosion" is a term used to describe when the value of the underlying assets in a fund decreases. StockValueFinder uses an "erosion-risk score" to measure this risk. This ETF has an erosion score of 75, which is labeled as "mild price erosion." While the share price has declined over the last year, there is no severe erosion-risk flag present.
Pros
• The ETF provides a high distribution yield.
• When including distributions, the total return has been positive for both the year-to-date and one-year periods.
Cons
• The share price itself has declined over the last year and year-to-date.
• There is a measurement of "mild price erosion."
Beginner takeaway
When looking at an ETF like OMAH, it is important to look at both the share price and the total return. While the share price has gone down, the total return (which includes the cash paid out to you) has been positive. Always remember that a high distribution yield is not the same thing as total profit, and high yields can exist even when the share price is falling.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | APPLE INC | AAPL | 11.76% |
| 2 | BERKSHIRE HATHAWAY INC CLASS B | BRK-B | 9.33% |
| 3 | AMERICAN EXPRESS CO | AXP | 8.68% |
| 4 | COCA-COLA CO | KO | 5.95% |
| 5 | CHEVRON CORP | CVX | 4.99% |
| 6 | MOODYS CORP | MCO | 4.77% |
| 7 | OCCIDENTAL PETROLEUM CORP | OXY | 4.70% |
| 8 | THE KROGER CO | KR | 4.59% |
| 9 | BANK OF AMERICA CORP | BAC | 4.56% |
| 10 | THE KRAFT HEINZ CO | KHC | 4.52% |