ETF Education Report: Amplify ETF Trust Samsung SOFR (SOF)

This report explains the data for the Amplify ETF Trust Samsung SOFR (ticker: SOF). This information is for educational purposes only and is not financial advice.

What this ETF is trying to do

The Amplify ETF Trust Samsung SOFR is an Exchange Traded Fund (ETF) traded on the NYSE. While the specific investment strategy is not detailed in the provided data, ETFs are tools used by investors to gain exposure to certain types of assets or market benchmarks.

What the numbers show

As of September 25, 2024, the current price of one share is $100.61.

When looking at how this ETF has performed this year, it is important to look at two different numbers:

• Year-to-Date (YTD) Price Return: This is approximately 0.32%. This number only measures the change in the share price itself.

• Year-to-Date (YTD) Total Return: This is approximately 3.91%. The total return is a different measurement because it includes both the share-price change and the distributions paid out to investors.

Income and distribution explanation

Some investors look for ETFs that pay out cash, known as distributions. This ETF has a distribution yield of approximately 4.05%. This percentage describes the cash distributions relative to the current ETF price.

Over the last 12 months, this ETF has made 10 distributions. These payments usually happen on a monthly basis. It is important to remember that receiving regular cash distributions does not guarantee that your original investment (your principal) will stay the same value.

NAV erosion explanation

"NAV" stands for Net Asset Value, which is the actual value of the assets held by the fund. "NAV erosion" happens when the value of those underlying assets declines over time.

For this ETF, there is no severe erosion-risk flag present. However, because there is not enough verified price history available, an erosion score was not provided. This means we cannot measure the specific erosion risk for this fund using the current data.

Pros

• Total Return: The YTD total return (3.91%) is higher than the YTD price return (0.32%), showing that distributions have added value to the overall return.

• Regular Income: The ETF has a history of frequent distributions, occurring 10 times in the last year.

Cons

• Limited History: There is insufficient verified price history to provide an erosion score or a one-year price return.

• Price Movement: The share price itself has seen very little growth this year (0.32%) compared to the total return.

Beginner takeaway

When studying ETFs, always distinguish between price return (how much the share price moved) and total return (the price movement plus any cash paid out). A high distribution yield can provide cash income, but it is not the same thing as a total return. Always look at both numbers to see how an investment is performing overall.