Strategy Shares NASDAQ 7 HANDL Index ETF: a Diversification Instrument amidst Market Uncertainty

HNDL is a multi-asset class ETF. The Strategy Shares NASDAQ 7 HANDL Index ETF pays an annualized 7% yield each month with a fraction of the volatility similar to one pertaining to closed-end funds. The ETF becomes somewhat popular again because of its structure and its transparency, which is simply to hold the lowest-cost ETFs from a fixed set of asset classes in varying weights.

Although on an annual basis it’s down 14.44%, it managed to outperform most major U.S. indices for account of broader exposure to multiple asset classes. It has only 15% to 30% allocation to equities. Although it is technically an index fund, tracking the above mentioned Nasdaq 7HANDL Index, in practice, this is an opportunity, a niche index, created to meet its own internal declaration, therefore the fund is functionally closer to a smart beta fund. The fund focuses on other cheap, broad-based index funds, tracking major asset classes and indexes.

HNDL focuses on cheap, broad-based index funds, tracking most major asset classes, including equities, bonds, preferreds, REITs, MLPs, and more. HNDL's holdings include funds tracking most well-known indexes, including the S&P 500, Nasdaq-100, Alerian MLP index, and US Aggregate Bond Index. It also includes investments in more niche, but well-known in retirement circles, funds like the JPMorgan Equity Premium Income ETF (JEPI). Around half of the fund's allocations are fixed, with the other half being flexible and dependent on asset class’ current situation and its fundamentals, including yield, risk, and momentum.

Each of HNDL's underlying funds invest in hundreds or thousands of securities, with HNDL itself providing investors with exposure to over 20,000 securities, an incredibly large number. HNDL is an interesting portfolio diversification tool eyeing broader market bearishness.