BFIX

BUILD Bond Innovation ETF

NAV:
$23.40
Market Price:
$23.39
NAV Change:
$0.01 / 0.05%
Market Price Change:
-$0.01 / -0.02%
as of 2022-06-27

Bond Innovation and Risk Mitigation for The Modern Era

The BUILD Bond Innovation ETF is a bond allocation fund designed for a modern global environment defined by low interest rates and constrained economic growth. The fund seeks to outperform traditional bond strategies under the continuation of low yields and/or rising prices in equity markets. The ETF takes the following approach:

  • Defense First. The ETF typically has 90% to 95% of its holdings in investment grade fixed income*, with the intent of providing downside risk management over the long-term. It seeks to maintain a moderate duration profile and requires investment grade credit quality in its bond holdings.
  • Upside Exposure Using Options. The ETF invests the remainder of its assets in a rules-based call option overlay tied to the upside performance of the S&P 500 Index.

* Fixed income exposure is either direct exposure or indirect exposure via unaffiliated ETFs.

BFIX portfolio construction pie chart. Investment grade fixed income core makes up majority of pie. Rules-based options overlay tied to S&P 500 Index makes up small portion of pie chart.

Portfolio Applications

Core Bond Allocation

  • Use to seek enhancement, diversification, or an alternative to a core fixed income or investment grade credit exposure.
  • BFIX seeks to provide higher total returns for a similar risk profile to the benchmark.

Risk Mitigation

  • BFIX seeks to lower downside risk from an equity allocation, while retaining exposure to upside potential.
  • May increase credit quality and reduce volatility for a high yield bond allocation.

Portfolio Diversification

  • With its unique structure, BFIX may have lower correlations to traditional equity and fixed income exposures, offering diversification benefits to a multi-asset class portfolio.

Fund Overview

as of 2022-06-24
Ticker Symbol:BFIX
Gross Expense Ratio:0.50%
NAV:$23.40
NAV Change:$0.01 / 0.05%
Market Price:$23.39
Market Price Change:-$0.01 / -0.02%
CUSIP:12009B101
Total Assets:$32,181,123.27
Shares Outstanding:1375000
Inception Date:2022-02-09
Premium Discount:-0.06%
30 Day Median Bid Ask Spread:0.34%

Monthly Fund Performance

as of 2022-05-31
Cumulative
 1mo3mo6mo1yrSince Inception
NAV0.29%-4.12%---4.49%
Market Price-0.14%-4.13%---4.41%
Bloomberg US Agg Total Return0.64%-5.86%---5.89%
Annualized
 1yr3yr5yrSince Inception
NAV----
Market Price----

Quarterly Fund Performance

as of 2022-03-31
Cumulative
 1mo3mo6mo1yrSince Inception
NAV-1.87%----2.25%
Market Price-1.71%----2.00%
Bloomberg US Agg Total Return-2.78%----2.80%
Annualized
 1yr3yr5yrSince Inception
NAV----
Market Price----

NAV, or Net Asset Value: The dollar value of a single share, based on the value of the underlying assets of the fund minus its liabilities, divided by the number of shares outstanding. Calculated at the end of each business day. Market Price: The current price at which shares are bought and sold. Market returns are based upon the last trade price.

Distribution Information

Distribution Information
Distribution Frequency: Monthly
30 Day SEC Yield: 0.11
Ex-Div DateRecord DatePayable DateAmount ($)Amount (%)
2022-05-262022-05-272022-05-31$0.013593440.0569%
2022-04-272022-04-282022-04-29$0.010711580.0448%
2022-03-292022-03-302022-03-31$0.009786970.0400%

Portfolio Holdings

as of 2022-06-27

Download Holdings

TickerCUSIPNameQuantityWeight
BIL78468R663SPDR SER TR BLOOMBERG 1-3 MO25420172.24%
VGSH92206C102VANGUARD SCOTTSDALE FDS SHORT TERM TREAS13745525.10%
Cash&OtherCash&OtherCash & Other609238.781.89%
TLT464287432ISHARES TR 20 YR TR BD ETF13010.46%
SPY 220916C00380000SPY 220916C00380000SPY OPTI CLL OPT 09/22 380140.11%
SPY 221216C00405000SPY 221216C00405000SPY OPTI CLL OPT 12/22 405180.10%
SPY 230317C00415000SPY 230317C00415000SPY OPTI CLL OPT 03/23 415120.08%
SPY 220916C00500000SPY 220916C00500000SPY OPTI CLL OPT 9/22 5008420.03%

Portfolio holdings and allocations are subject to change and should not be considered investment advice or a recommendation to buy, sell or hold any particular security.

How to Buy

BFIX Availability for Individuals and Advisors

Individual Brokerage Accounts

Individual investors may be able to purchase shares of BFIX on the popular brokerage platforms listed below. Please log into your brokerage account and search for the ticker symbol BFIX to check availability. If BFIX is not available, please reach out to your brokerage for more information. You may also call us at (833) 852-8453.

List of brokerages with BFIX availability:

Financial Advisor Platforms

Financial advisors may be able to purchase shares of BFIX on their platforms. Please check with your platform provider or call us at (833) 852-8453 if you require assistance.

 

DEFINITIONS OF TERMS:

Investment Grade Fixed Income – To be considered an investment grade issue, the company must be rated at ‘BBB’ or higher by Standard and Poor’s or Moody’s. Anything below this ‘BBB’ rating is considered non-investment grade.

30-Day SEC Yield – Yield calculation that reflects the dividends and interest earned during the period after the deduction of the fund’s expenses. It is also referred to as the “standardized yield.”

Call Option – A call is an option contract giving the owner the right, but not the obligation, to buy a specified amount of an underlying security at a specified price within a specified time.

Put Option – Put options give holders of the option the right, but not the obligation, to sell a specified amount of an underlying security at a specified price within a specified time frame.

Weighted Average Maturity – Weighted average maturity is a measure of the overall maturity of the debt securities in a portfolio.

Duration – Duration is a measure of the sensitivity of the price of a bond or other debt instrument to a change in interest rates. Duration can measure how long it takes, in years, for an investor to be repaid the bond’s price by the bond’s total cash flows. Duration can also measure the sensitivity of a bond’s or fixed income portfolio’s price to changes in interest rates. In general, the higher the duration, the more a bond’s price will drop as interest rates rise (and the greater the interest rate risk). For example, if rates were to rise 1%, a bond or bond fund with a five-year average duration would likely lose approximately 5% of its value.

Option-Adjusted Duration – A measure of fixed income duration that accounts for the effect of a call option on the expected life of a bond.

PRIVACY POLICY:

Please visit https://www.getbuilding.com/privacy-policy/ for more information about how we collect and use data related to this site.

 

BFIX News & Insights

Contact Us

Investors should carefully consider the investment objectives, risks, charges, and expenses of Exchange Traded Funds (ETFs) before investing. To obtain an ETF’s prospectus containing this and other important information, please call (833) 852-8453, or visit www.BFIX.fund. Please read the prospectus carefully before you invest.

IMPORTANT RISK INFORMATION: An investment in the fund involves risk, including possible loss of principal. Past performance does not guarantee future results.

The fund’s investment objective is to seek capital appreciation and risk mitigation. The funds are new and have a limited operating history.

Fixed income investments are subject to interest rate risk; their value will normally decline as interest rates rise. Fixed income investments are also subject to credit risk, the risk that the issuer of a bond will fail to pay interest and principal in a timely manner, or that negative perceptions of the issuer’s ability to make such payments will cause the price of that bond to decline. Investing in mortgage- and asset-backed securities involves interest rate, credit, valuation, extension and liquidity risks and the risk that payments on the underlying assets are delayed, prepaid, subordinated or defaulted on.

The Fund is actively managed, which means that investment decisions are made based on the Adviser’s investment views. There is no guarantee that the investment views will produce the desired results or expected returns, which may cause the Fund to fail to meet its investment objective or to underperform its benchmark index or funds with similar investment objectives and strategies. The Fund invests in ETFs (Exchange-Traded Funds) and is therefore subject to the same risks as the underlying securities in which the ETF invests as well as entails higher expenses than if invested into the underlying ETF directly. While the option overlay is intended to improve the Fund’s performance, there is no guarantee that it will do so. Utilizing an option overlay strategy involves the risk that as the buyer of a call option, the Fund risks losing the entire premium invested in the option if the Fund does not exercise the option. Also, securities and options traded in over-the-counter markets may trade less frequently and in limited volumes and thus exhibit more volatility and liquidity risk.

Build Asset Management, LLC (a/k/a Build Asset Management and/or Get Building) is the investment advisor to the BFIX ETF. Build is an investment adviser registered with the U.S. Securities and Exchange Commission.  Registration of an investment adviser does not imply any skill or training.  Build Asset Management does not provide legal or tax advice.  Please consult your legal or tax professionals for specific advice. Build does not guarantee any minimum level of investment performance or the success of any index portfolio, index, mutual fund or investment strategy. Past performance does not guarantee future results. There is a potential for loss in any investment, including loss of principal invested. All investments involve risk, and different types of investments involve varying degrees of risk. Investment recommendations will not always be profitable.

Build ETFs are distributed by Foreside Fund Services, LLC.