What this ETF is trying to do

The RECKONER BBB-B CLO ETF (RCLO) is an exchange-traded fund that focuses on CLOs (Collateralized Loan Obligations). Specifically, it targets loans rated in the BBB to B range. These are types of corporate debt that investors use to seek income.

What the numbers show

As of October 9, 2026, the share price for RCLO was $24.98.

When looking at performance so far this year (Year-to-Date), there are two different numbers to understand:

• Price Return: This is -0.54%. This means the share price itself has gone down slightly.

• Total Return: This is 4.60%. Total return is a different measure because it includes the cash distributions paid out to investors.

One-year and three-year return data were not supplied.

Income and distribution explanation

This ETF is designed to provide regular cash payments. It usually pays distributions monthly, with 11 payments made over the last 12 months.

The distribution yield is approximately 6.35%. This percentage describes the cash distributions relative to the ETF price. It is important for beginners to know that a high distribution yield alone can be misleading. It does not guarantee that the investor earned that percentage as a total return, nor does it guarantee that the original investment (the principal) is safe.

NAV erosion explanation

"NAV erosion" happens when the net asset value of a fund declines over time, which can lead to a falling share price.

For this ETF, the severe erosion-risk flag is false, meaning the specific warning trigger was not hit. However, the erosion score is currently unavailable because there is not enough verified price history to calculate it.

Pros

• Regular Income: The fund provides frequent cash distributions, usually on a monthly basis.

• Positive Total Return YTD: While the share price dipped slightly this year, the total return (which includes distributions) is positive at 4.60%.

Cons

• Price Decline: The year-to-date price return is negative, showing a slight decline in the share price.

• Limited Data: There is no available data for one-year or three-year performance, and the erosion score is withheld due to insufficient history.

Beginner takeaway

RCLO is an income-focused ETF. It is important to distinguish between price return (the change in share price) and total return (price change plus distributions). In this case, the distributions have helped the total return stay positive even though the share price has dropped slightly this year. Investors typically look for a balance between receiving high income and keeping their principal investment stable.