Monday, June 9, 2025

Tidal Trust II (0001924868) (Filer)

STKd 100% Bitcoin & 100% Gold ETF (Ticker: BTGD) — Annual Shareholder Report Summary (Period Ending March 31, 2025)


Fund Overview

  • Inception: October 15, 2024
  • Investment Objective: Seeks long-term capital appreciation by maintaining an approximate 100% exposure to both Bitcoin and Gold via ETFs and futures.
  • Total Net Assets: $24.1 million
  • Shares Outstanding: 900,000
  • Expense Ratio: 0.99% (annualized)
  • Portfolio Turnover: 107% (not annualized)

Performance

  • Since Inception (10/15/2024 – 03/31/2025):
    • BTGD NAV Return: +34.06%
    • S&P 500 Total Return (for comparison): -2.91%
    • NAV per Share (End of Period): $26.76 (up from $20.00 at inception)
  • Hypothetical $10,000 Investment Cost: $53

Portfolio Composition (as of 3/31/2025)

  • Top Holdings:

    • First American Government Obligations Fund - Class X: 40.4%
    • ProShares Bitcoin ETF: 18.0%
    • iShares Bitcoin Trust ETF: 7.7%
    • SPDR Gold MiniShares Trust: 7.5%
    • Gold & Bitcoin futures exposure present, with some negative/unrealized positioning.
  • Number of Holdings: 9

  • Exposure: Maintained close to 100% allocation to both Bitcoin and Gold during the reporting period.

Expenses and Distributions

  • Total Advisory Fee Paid: $93,080
  • Distributions Paid to Shareholders: $43,414 (from ordinary income)
  • Net Investment Income (for period): $235,981

Management Discussion & Factors Affecting Performance

  • Drivers of Returns:

    • Bitcoin: Benefited from institutional adoption and continued spot ETF speculation.
    • Gold: Maintained its traditional role as a risk-off asset; performance mixed with market volatility.
    • The fund’s approach of combining both assets led to robust positive returns despite broader market softness.
  • Portfolio Positioning:

    • Flexibly adjusted weights to maintain 100% exposure (Bitcoin: 98.6%–102.8%, Gold: 98.2%–102.6%).

Key Risks

  • Bitcoin/Digital Asset Risks:
    • Extreme price volatility, possible market manipulation, security breaches/theft/fraud, and regulatory changes.
    • Risks of blockchain forks, protocol changes, concentration of mining power, and competition from alternative blockchains.
  • Gold Exposure Risks:
    • Affected by macroeconomic conditions, interest rate changes, inflation, and derivatives market dynamics.
  • Derivatives Risks:
    • Imperfect correlation between underlying asset and futures, leverage, liquidity, and potential for large losses.
  • General Market Risks:
    • Significant ongoing market volatility both in digital assets and globally, as noted in management’s assessment.

Fees & Governance

  • Unitary Management Fee: Adviser compensated from a single fee (0.99%), covers most expenses.
  • No Performance Fee.
  • No 12b-1 Distribution Fees Currently.
  • Audit & Tax Fees (FY 2025): $17,000 (audit), $6,500 (tax).
  • Affiliated Service Providers: Tidal ETF Services (administrator); Quantify as sub-adviser.

Notable Events

  • Fund Renamed: Effective February 18, 2025, now "STKd 100% Bitcoin & 100% Gold ETF."
  • No Changes in Accountants or Major Governance Issues Reported.

Investor Takeaway:
This ETF delivered strong inaugural-period results, with significant outperformance versus broad equities. Investors should note the high-risk exposure from both Bitcoin and gold, compounded by derivative and digital asset market risks. Portfolio management has maintained targeted exposures, but volatility in asset prices and regulatory/environmental factors could materially impact future returns. The total expense ratio is in line with thematic/alternative ETFs.

Recommended for: Risk-tolerant investors seeking leveraged exposure to both Bitcoin and Gold as non-correlated assets, with the understanding of associated volatility and digital asset-specific risks.

For more granular insights and analysis check out Publicview AI here

View Filing


No comments:

Post a Comment