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Global X Preferred Report

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Global X Preferred Report GLOBAL X The preferred portion of the Global X income family includes our U.S. Preferred ETF (PFFD), SuperIncomeTM Preferred ETF (SPFF), and PREFERRED our Variable Rate Preferred ETF (PFFV). Both funds target preferred securities, which have historically off ered high yields compared to REPORT more traditional fi xed income instruments. In addition, the yield from preferred stocks may be treated as qualifi ed dividend income (QDI) rather than as ordinary income, resulting in favorable taxation. High Income Potential Monthly Distributions 30-DAY SEC As of 12/31/20 EXPOSURE1 12-MONTH DIVIDEND YIELD COMPARISON YIELD2 Invests in a broad basket of preferred U.S. Preferred ETF 5.29% PFFD stocks, providing benchmark like exposure 5.01% Bloomberg Barclays 1.12% U.S. Preferred ETF to the asset class. Agg Yield To Worst SuperIncome 5.88% SPFF 50 of the highest yielding preferred stocks Preferred ETF SuperIncomeTM 5.55% Bloomberg Barclays 1.12% Preferred ETF in North America Agg Yield To Worst PFFV Invests in a broad basket of U.S. variable rate Variable Rate Preferred N/A 6.43% Variable Rate preferred stocks, providing benchmark-like 5.73% Bloomberg Barclays 1.12% Preferred exposure to the asset class. Agg Yield To Worst S&P U.S. High Yield Corporate Bond Index 4.71% 10-Year Treasury Yield 0.93% 1 Funds seek investment results that correspond generally to the price and yield performance of their underlying indexes. Index components are determined by the Funds’ index providers. 2 30-Day SEC Yield as of December 31, 2020. To read the Prospectus for more information, please visit globalxetfs.com/PFFD, globalxetfs.com/SPFF, globalxetfs.com/PFFV. 3 N/A represents unsubsidized 30-Day SEC Yield. An unsubsidized yield of “N/A” represents a less than 0.01% fee waiver by the advisor * Holdings subject to change. Current and future holdings subject to risk. U.S. Treasury securities, if held to maturity, guarantee a return of principal. Investments in any other securities included in this report carry no such guarantee. ® 605 THIRD AVENUE 1 (888) 493-8631 43RD FLOOR GLOBALXETFS.COM NEW YORK, NY 10158 @GLOBALXETFS THE GLOBAL X PREFERRED REPORT STANDARD PERFORMANCE Fund Information Yields Distribution 30-Day As of 12/31/20 Ticker AUM Expense Ratio 12-Month Yield2 Dividend Yield3 SEC Yield4 Global X U.S. Preferred ETF PFFD $1058 m 0.24%/0.23%1 4.98% 5.29% 5.01%/NA5 Inception Date 09/11/2017 Global X SuperIncomeTM Preferred ETF SPFF $199 m 0.58% 5.64% 5.88% 5.55% Inception Date 07/16/2012 Global X Variable Rate Preferred ETF PFFV $1.4 m 0.25% 4.53% NA 5.73% Inception Date 06/22/2020 Performance Annualized Since As of 12/31/20 Since Fund Inception 1-Year 5-Year Fund Inception NAV 24.09% 8.85% - 6.75% Global X U.S. Preferred ETF Market Price 24.59% 8.80% - 6.88% Inception Date 09/11/2017 PLCR Index 24.78% 8.93% - 6.92% Global X SuperIncomeTM NAV 40.30% 6.90% 4.48% 4.09% Preferred ETF Market Price 42.39% 6.82% 4.51% 4.27% Inception Date 07/16/2012 SPPEYN Index 47.45% 7.33% 4.98% 4.69% Global X Variable Rate NAV 13.49% - - - Preferred ETF Market Price 13.69% - - - Inception Date 06/22/2020 PFTF Index 13.68% - - - 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 so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month end, please call 1.888.493.8631, or visit globalxetfs.com. Coupon Breakdown PAR Amount Next Call Date (Years) Other Not As of 12/31/20 Floating Variable $10 $25 $50 $100 $200 $250 $1000 < 1 1-2 2-3 3-5 5-7 7-10 > 10 Fixed Variable Callable PFFD 76% 3% 20% – – 77% 8% 4% – – 12% 26% 7% 11% 28% 2% 1% 0% 24% SPFF 44% – 56% – 2% 82% 2% 7% 2% – 6% 27% 10% 13% 31% 2% 3% 0% 15% PFFV – 13% 80% 7% – 100% – – – – – 17% 12% 20% 35% 10% 5% 0% 1% Numbers may not add to 100% due to rounding. 1Expense Ratio: Pursuant to an Expense Limitation Agreement, the Adviser has contractually agreed to reimburse or waive fees and/or limit Fund expenses to the extent necessary to assure that the operating expenses of the Fund will not exceed 0.23% of the Fund’s average daily net assets per year until at least April 1, 2021 2Distribution Yield: The annual yield an investor would receive if the most recent fund distribution remained the same going forward. The yield represents a single distribution from the fund and does not represent total return of the fund. The distribution yield is calculated by annualizing the most recent distribution and dividing by the NAV. 312-Month Dividend Yield: The yield an investor would have received if they had held the fund over the last twelve months assuming the most recent NAV. The 12-Month yield is calculated by summing any income distributions over the past twelve months and dividing by the NAV. 430-Day SEC Yield: A standard yield calculation developed by the Securities and Exchange Commission that allows for fairer comparisons among funds. This figure reflects the interest earned during the period after deducting the fund’s expenses for the period. 5The Unsubsidized 30-Day SEC Yield for PFFD is N/A, which represents a less than 0.01% fee waiver by the advisor. ® 605 THIRD AVENUE 1 (888) 493-8631 43RD FLOOR GLOBALXETFS.COM NEW YORK, NY 10158 @GLOBALXETFS THE GLOBAL X PREFERRED REPORT Cumulative Duration Convexity Preferreds % Option Non-Option Option Non-Option As of 12/31/20 Adjusted Adjusted Adjusted Adjusted PFFD 8.91 3.40 -117.34 0.66 30% SPFF 2.13 2.46 -0.03 0.18 44% PFFV 2.70 2.62 0.00 0.12 35% PFFD 1,2 Component Credit Rating 1 Weight 1,2 *Top 10 Securities Rolling 12-Month Distributions* PFFD COMPONENT CREDIT RATING in Fund PFFD Rolling 12 Month Distributions² Wells Fargo & Co 7.50% 3.28% $0.14 Broadcom Inc 8.00% 3.10% $0.12 0 22 129 122 21 0 Bank Of America Corp 7.25% 2.56% $0.10 AAA AA- A- BBB- to BBB+ BB- to BB+ B- CCC- GMAC Capital Trust 6.065% 1.59% to AA+ to A+ to B+ to CCC+ Nextera Energy Inc 5.279% 1.39% $0.08 $0.06 • 276 of PFFD’s 290 components received a rating Citigroup Inc 6.58438% 1.38% from at least one of the three major credit rating Danaher Corp 4.75% 1.38% $0.04 agencies (S&P, Moody’s, and Fitch). Danaher Corp 5.00% 1.21% $0.02 • 48% of the components which were rated by at Wells Fargo & Co 4.75% 1.16% $0.00 least one ratings agency had an investment JPMorgan Chase & Co 6.00% 1.15% Jul-20 Jan-20 Oct-20 grade rating. Apr-20 Jun-20 Mar-20 Feb-20 Sep-20 Dec-20 Nov-20 Aug-20 May-20 SPFF 1,2 *Top 10 Securities1 Weight SPFFComponent COMPONENT CreditCREDIT RATING Rating1,2 in Fund Rolling 12-Month Distributions* Broadcom Inc 8.00% 5.60% SPFF Rolling 12 Month Distributions² $0.09 GMAC Capital Trust 6.065% 5.23% $0.08 0 0 8 21 6 0 HSBC Holdings PLC 6.2% 3.93% $0.07 JPMorgan Chase & Co 6.15% 3.56% $0.06 AA- A- BBB- BB- B- CCC- to AA+ to A+ to BBB+ to BB+ to B+ to CCC+ Qurate Retail Inc 8.00% 3.52% $0.05 US Bancorp 6.50% 3.52% $0.04 Bank Of America Corp 6.2% 3.32% $0.03 • 35 of SPFF’s 48 components received a rating from Citigroup Inc 6.875% 3.03% $0.02 at least one of the three major credit rating agencies Athene Holding 6.35% 2.92% $0.01 (S&P, Moody’s, and Fitch). Wells Fargo & Co 6.625% 2.90% $0.00 • 23% of the components which were rated by at least Jul-20 Jan-20 Oct-20 Apr-20 Jun-20 Mar-20 Feb-20 Sep-20 Dec-20 Nov-20 Aug-20 one ratings agency had an investment grade rating. May-20 PFFV 1,2 Component Credit Rating 1 Weight PFFD COMPONENT CREDIT RATING1,2 *Top 10 Securities in Fund Rolling 12-Month Distributions* Wells Fargo & Co 5.85% 4.12% PFFV Rolling 12 Month Distributions² $0.14 0 2 0 15 37 8 0 PNC Financial Services 6.75% 3.60% Goldman Sachs 4.00% 3.03% $0.12 AAA AA- A- BBB- to BBB+ BB- to BB+ B- CCC- to AA+ to A+ to B+ to CCC+ Bank Of America Corp 6.45% 2.54% $0.10 Goldman Sachs 5.50% 2.44% $0.08 • 62 of PFFV’s 93 components received a rating from Citigroup Inc 7.125% 2.43% $0.06 US Bancorp 6.50% 2.38% at least one of the three major credit rating agencies $0.04 Athene Holding 6.35% 2.26% (S&P, Moody’s, and Fitch). $0.02 • 27% of the components which were rated by at Wells Fargo & Co 6.625% 2.20% least one ratings agency had an investment Morgan Stanley 5.85% 2.13% $0.00 grade rating.
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