Direxion Zacks MLP High Income Index Shares

  • FUND SYMBOL

    ZMLP

  • BLOOMBERG INDEX

    ZAXLPTR

  • CUSIP

    25459Y298

  • EXPENSE RATIO (GROSS/NET %)

    2.65 / 2.41*

  • INCEPTION DATE

    Jan 23, 2014

Overview

The Direxion Zacks MLP High Income Index Shares seeks investment results, before fees and expenses, that track the price and yield performance of the Zacks MLP High Income Index. There is no guarantee the fund will meet its stated investment objective.

Strategy & Benefits

Index Description

The Zacks MLP High Income Index selects 25 Master Limited Partnerships (MLP) utilizing a methodology proprietary to Zacks. The objective of the Index is to select a group of MLPs with the potential to yield and outperform on a risk adjusted basis the S&P 500 Index and other benchmark indices. One cannot directly invest in an Index.

  • Potential index constituents include all MLPs listed on at least one U.S. stock exchange.
  • Eliminate MLPs with less than a $300 million market cap.
  • Each MLP is then ranked using a rules-based methodology that includes, liquidity, short interest, dividend yield and other factors and is sorted from highest to lowest.
  • The final index is comprised of the 25 highest-ranking securities. The constituents are equally weighted, to make up 4% of the total portfolio each.
  • The constituent selection process as well as the ranking, reconstitution, and rebalancing of the Index is repeated at least quarterly.

Strategy Benefits

  • MLPs may provide attractive distributions to income oriented investors
  • Equal Weighted Construction provides potential for greater diversification
  • The “C Corp” structured ETF provides shareholders with a way to avoid K-1’s
  • Shares may be held in accounts such an IRA, a 401k, and many non-qualified accounts
  • The shares are traded on an exchange which provides intraday liquidity
  • The ETF structure provides transparency allowing shareholders to “know what they own”

Daily Statistics

Net Operating Gain/(Loss) $

Current Year Gain/(Loss) 1,285,246
Prior Years Gain/(Loss) (2014-16) (2,563,444)
Cumulative Net Gain/(Loss) (1,278,198)

Deferred Tax Asset/(Liability) $

Deferred Tax Asset 275,491
Deferred Tax Liabilty 0
Net Deferred Tax Asset 275,491
Data as of 12/14/2017

Fund Details

Fund Statistics

Annualized Distribution Rate 9.49%
Dividend Quarterly
Net Expense Ratio with Deferred Income Tax* 2.41%
Number of Positions 25

Annualized Distribution Rate may be considered tax deferred return of capital, but could be subject to capital gains if sold for a gain. Currently, it is estimated that 100% for the distribution rate is return of capital.

Correlation is a measure of the similarity of performance, and is calculated on using daily values.

S&P 500 is an unmanaged index of 500 stocks used to measure largecap U.S. stock market performance.

Bonds represented by the Barclay US Aggregate Bond Index.

Target Index

The Zacks MLP High Income Index (ZAXLPTR) selects 25 Master Limited Partnerships (MLP) utilizing a methodology proprietary to Zacks. The objective of the Index is to select a group of MLPs with the potential to yield and outperform on a risk adjusted basis the S&P 500 Index and other benchmark indices. One cannot directly invest in an Index.

Index Top Ten Holdings %

Enable Midstream Partners LP 4.66
Suburban Propane Partners LP 4.51
Black Stone Minerals LP 4.38
Golar LNG Partners LP 4.34
Enbridge Energy Partners LP 4.29
Western Refining Logistics LP 4.23
Crestwood Equity Partners LP 4.17
Western Gas Partners LP 4.15
Terra Nitrogen Co LP 4.06
American Midstream Partners LP 4.04

Index Country Weightings %

United States 95.66
Britain 4.34

Index data as of 09/30/2017. Source: Bloomberg. Index country weightings and top holdings are subject to change.

MLP Sub-Industry Sector Weightings (%)

Energy 83.80
Basic Materials 4.06
Consumer, Cyclical 4.51
Industrials 7.63

MLP Category Weightings (%)

Downstream 24.60
Midstream 67.07
Upstream 8.33


Tax Reporting

Download the following Tax Reporting Documents

Pricing and Performance

NAV and Market Price information as of December 14, 2017. Line chart shows pricing trend over the last 30 days.

fund symbol

ZMLP

  • Net asset value (NAV)

    • 16.48
    • 0.05
    • 0.30
  • market price closing

    • 16.44
    • -0.04
    • -0.24
  • Premium / Discount

    • -0.04

* The Gross and Net Expense Ratios above include deferred income tax, management fees and other operating expenses. If deferred income tax were excluded, the Net Expense Ratio would be 0.65%. For the fiscal year ended October 31, 2016, there was deferred income tax expense of 1.76% for the Fund. The Fund’s Adviser, Rafferty Asset Management, LLC (“Rafferty”) has entered into an Operating Expense Limitation Agreement with the Fund, under which Rafferty has contractually agreed to cap all or a portion of its management fee and/or reimburse the Fund for Other Expenses through September 1, 2019, to the extent that the Fund’s Total Annual Fund Operating Expenses exceed 0.65% of the Fund’s daily net assets other than the following: taxes, swap financing and related costs, acquired fund fees and expenses, dividends or interest on short positions, other interest expenses, brokerage commissions and extraordinary expenses. If these expenses were included, the expense ratio would be higher.

The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate. An investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance quoted. Returns for performance under one year are cumulative, not annualized. For the most recent month-end performance please visit the funds website at roo-okt.ru.

Short-term performance, in particular, is not a good indication of the fund’s future performance, and an investment should not be made based solely on returns. Because of ongoing market volatility, fund performance may be subject to substantial short-term changes. For additional information, see the fund’s prospectus.

Distributions

  • ZMLP
  • Direxion Zacks MLP High Income Index Shares
Record Date Ex Date Pay Date Short-Term Capital Gain Long-Term Capital Gain Return of Capital
09/20/2017 09/19/2017 09/26/2017 0.40000
06/22/2017 06/20/2017 06/27/2017 0.40000
03/23/2017 03/21/2017 03/28/2017 0.40000
12/22/2016 12/20/2016 12/28/2016 0.40000
09/22/2016 09/20/2016 09/27/2016 0.40000
06/23/2016 06/21/2016 06/28/2016 0.40000
03/24/2016 03/22/2016 03/30/2016 0.40000