Each Fund seeks to meet its investment objective by investing in the assets comprising the relevant Index in accordance with the weightings determined and published by the applicable Index Provider

The Fund aims to provide investors with a return that (before fees and expenses) tracks the performance of the S&P/ASX 300 Shareholder Yield Index.

Benefits of investing in the Global X S&P/ASX 300 High Yield Plus ETF

Why ZYAU?

Shareholder yield

While dividends are the dominant form of corporate distribution, including share buybacks gives a more complete picture.

Quality companies

Filtering by free cash flow to equity removes companies that pay out unsustainably high dividends.

Unique

ZYAU follows a unique selection methodology, which results in its portfolio looking quite different to other high yield ETFs available in the market.

Liquidity

ZYAU holds only stocks within the S&P/ASX 300 Index that trade more than $1 million per day on average, making it highly liquid.

Transparent

Full portfolio holdings for ZYAU are made publicly available daily 

How to use ZYAU in a Portfolio?

• Core exposure to high yielding Australian shares

• Tactical tilt towards yield

• Tactical tilt towards quality stocks

Capital Growth, Income Distribution, Satellite/small allocation (<25%)

Fund overview

ZYAU is an exchange traded fund (ETF) which is tradable by investors on stock exchanges intraday and can be created and redeemed daily by certain financial institutions (known as Authorised Participants).

Index description

The S&P/ASX 300 Shareholder Yield Index offers exposure to the 40 stocks from the S&P/ASX 300 Index with the highest shareholder yields. Shareholder yield is a measure of return to investors combining both dividends paid and share buybacks. To be eligible for the index companies must have free cash flow in excess of the amount returned to investors and must have non-negative dividend per share growth.

The index is weighted by a measure combining both market capitalisation and shareholder yield.

Index Objective

The S&P/ASX 300 Shareholder Yield Index is designed to provide investors with a return higher than the performance of the S&P/ASX 300.

How we invest your money

Index methodology

The methodology employed by S&P in calculating the Index can be found at www.spindices.com

The index comprises the 40 stocks from the S&P/ASX 300 with the highest shareholder yield, which is defined as the amount of common dividends and common share buybacks in the last year.

In order to achieve sustainable performance, the eligible stocks are screened for liquidity, dividend growth and free cash flows. As a result, ZYAU delivers a defensive return from high yielding stocks and a cyclical return from buyback companies.

Index tracking

Each Fund will attempt to (before fees and expenses) fully replicate the performance of the relevant Index by investing its assets in a portfolio of securities that comprise the Index in proportion to the weight assigned to each security within the Index.

Any changes in the composition of an Index, whether due to scheduled rebalancing or other unscheduled events (e.g. corporate actions), will generally be reflected in the portfolio of securities held by a Fund as soon as practically possible.

In certain circumstances, it may not be possible or practical for the Responsible Entity to exactly replicate the Index. For example, trading in particular securities may be suspended. In other circumstances the exact replication of the Index may be impractical or excessively costly, for example where the Index comprises a large number of securities that are assigned small weights.

To assist investors, each Fund's full portfolio holdings will be published on a daily basis at the same time that Authorised Participants and market makers are provided with portfolio composition files.

Each Fund may hold derivative contracts from time to time, such as exchange traded options written on the Index or its constituent securities, and other investments that do not comprise the Index, but help to achieve the investment objectives of that Fund. These other investments that do not comprise the index may include for example:

• cash or short term deposits;

• related securities such as tradable rights resulting from corporate actions undertaken by Index constituents;

• depository receipts or other securities that may be substituted for Index constituents that are impractical or costly to trade; and

• futures, options, swaps or other ETFs with similar exposures to the Index that may help minimise deviations from the Index, where appropriate.

These are expected to be used in limited circumstances.

Cash balances may also be held in each Fund from time to time. None of the Funds will engage in securities lending.