Share-split context: A reverse split was recorded on Nov 18, 2015 with coefficient 0.5. A reverse split combines multiple old shares into fewer new shares and mechanically raises the quoted price per share. That mechanical increase does not restore lost investment value. The returns in this report are already split-adjusted, while reverse-split history remains a separate structural warning.

What this ETF is trying to do

The Global X Uranium ETF (ticker: URA) is an exchange-traded fund that focuses on the uranium industry. It holds a variety of companies related to this sector. Based on its top holdings, the fund includes companies like Cameco Corp, Sprott Physical Uranium Trust, and Nexgen Energy Ltd. Because the list of holdings provided is partial, these are simply the largest companies in the fund, not all of them. Please remember that holdings can change over time.

What the numbers show

When looking at an ETF, it is important to understand two different types of returns: price return and total return.

• Price Return: This measures only the change in the share price.

• Total Return: This includes both the share price changes and any cash distributions (dividends) paid out.

For URA, the numbers show different trends depending on the time frame:

• Year-to-Date (YTD): The YTD price return is approximately -6.55%. The YTD total return is also approximately -6.55%.

• One Year: The one-year price return was approximately -22.03%. However, the one-year total return was approximately -18.23%.

• Three Years: The three-year price return was approximately 52.64%. The three-year total return was higher, at approximately 74.71%.

This ETF has a history of reverse splits. In a reverse split, multiple old shares are combined into fewer new shares. This causes the price per share to rise mechanically, but it does not increase the actual value of your investment.

Income and distribution explanation

This ETF has a distribution yield of approximately 5.22%. This number describes the cash distributions relative to the current ETF price. The trailing distributions over the last year were approximately $2.08 per share.

It is important to note that the distribution frequency for this ETF is described as "irregular" or "less frequent," with one payout recorded in the last 12 months. A high distribution yield does not guarantee that an investor will earn that percentage as a total return, nor does it guarantee the preservation of your original investment.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value of the fund. While a falling market price is a "share-price decline," it does not always mean the NAV has declined.

StockValueFinder uses an erosion-risk score to measure this risk. URA has an erosion score of 55, which is labeled as "moderate price erosion." This is a measurement of risk rather than proof that the fund's value has collapsed. There is no "severe erosion-risk flag" for this ETF.

Pros

• The fund has shown strong total returns over a three-year period (approximately 74.71%).

• It provides a distribution yield of approximately 5.22%.

Cons

• The fund has experienced a share-price decline over the last year (approximately -22.03%).

• The distribution frequency is irregular.

Beginner takeaway

When looking at URA, remember that price returns and total returns are different. While the share price may go down, distributions can add to the total return. Also, keep an eye on erosion-risk scores to understand how much the price has fluctuated over time.