Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY)

The Roundhill S&P 500 Target 20 Managed Distribution ETF (XPAY) is an exchange-traded fund offered by Roundhill Investments. It seeks to provide exposure to the S&P 500 while paying distributions under a managed distribution policy that targets an annual distribution rate of about 20 percent, typically paid frequently throughout the year.

The fund's equity exposure is linked to the large-cap U.S. stocks of the S&P 500, generally obtained through S&P 500 ETFs or derivatives. Distributions may come from income, gains or a return of capital, so the payout is not the same as investment return.

The structure is aimed at turning broad U.S. equity exposure into a high, regular cash-flow stream, with the fund's share value reflecting both market moves and the distributions paid out.