Sterling Capital Hedged Equity Premium Income ETF
$25.200.00 (0.00%)
- 0.65%
- $247M
- 0M sh
- $25.18
- low $23.12high $25.93
The ETF.net SCEP Grade
B
Score 69 out of 100
- 9 of 51
Score 69 of 100 falls in the B band. A is 70 or higher, B 55 to under 70, C 40 to under 55, D 25 to under 40, F under 25.
Cost
The fund’s net expense ratio, ranked against its category.A83 out of 100Rank 9 of 51Mission
Whether the fund did what it promised, tested against its stated mandate.Risk
How the fund held up when markets fell: downside volatility, drawdowns and tail loss.B60 out of 100Rank 19 of 46Tradability
How easy the fund is to trade: daily volume, and how far its price strays from net asset value.B55 out of 100Rank 21 of 51Holdings
How concentrated the fund is, and how complete and current its disclosed holdings are.B69 out of 100Rank 14 of 42Durability
Whether the fund is likely to stay open, judged by its age, its assets and its issuer’s assets.B66 out of 100Rank 13 of 51
Our read on SCEP
BMost premium-income ETFs sell calls and leave the downside wide open. Sterling's active take pairs those covered calls with protective puts, so the hedge is written into the strategy instead of bolted on later.
The Fund seeks long-term capital growth, income, and preservation of capital. It invests primarily in U.S. large- and mid-cap equity and equity-related securities and uses a dynamic covered-call and protective-put overlay to add income and mitigate downside risk.
Why people hold it
- Two-sided overlay: covered calls generate income, protective puts are there to cushion drawdowns. That is a collar, not a call-only income sleeve.
- A 0.65% expense ratio undercuts the roughly 0.95% median fee across active options-income funds.
- The overlay is dynamic and actively managed, sitting on a portfolio of US large- and mid-cap stocks rather than a fixed index and a set strike calendar.
- Stands as one of the stronger overall builds in a crowded options-income field, where most rivals sell upside without buying any protection.
Worth knowing
- It launched in December 2025, so the overlay has not yet run through a full market cycle.
- Cheaper than the typical peer, pricier than the category's low-fee names: PAPI charges 0.29% and TCAL 0.34%.
- Payouts arrive on an irregular schedule rather than the fixed monthly cadence many premium-income funds advertise, and the fund trades thinly, so spreads matter.
SCEP Holdings
- Stocks
- 59
- 44%
- AAPL
Geography
- United States98.50%
- Switzerland1.50%
SCEP Performance
Shows how $10,000 changes over the selected period, with cash distributions reinvested at the closing price on each ex-dividend date.
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SCEP$10,712
Returns run to the Oct 12, 2026 close, with cash distributions reinvested. Each period starts on the same date that many months or years earlier. Periods over one year show the average yearly return.
| Period | SCEP |
|---|---|
| Year to date | +7.1% |
| 1 month | +2.9% |
| 3 months | +2.2% |
| 1 year | — |
| 3 years | — |
| 5 years | — |
| 10 years | — |
Calendar-year total return with cash distributions hypothetically reinvested at the ex-dividend date’s closing price. The current year shows year to date.
| Year | Return bar | SCEP |
|---|---|---|
| 2026 YTD | +7.1% | |
| 2025 | −0.5% |
SCEP in the news
Category Review
The payout and the result came apart in option-income funds
SCEP Dividends
- $0.14 per share
- Monthly
Distribution data unavailable.
Distribution history
SCEP Risk
- —
How it’s calculated: standard deviation
The sample standard deviation of monthly total returns, multiplied by the square root of 12.
Uses up to 36 complete months, with at least 12 required. Total returns include reinvested distributions.
- —
How it’s calculated: Sharpe ratio
Subtract each month’s Treasury-bill return from the fund’s monthly total return.
Divide the average of those excess returns by their sample standard deviation, then multiply by the square root of 12.
Uses up to 36 complete months, with at least 12 required. Each month uses the Treasury yield quoted at the end of the previous month.
- —
How it’s calculated: maximum drawdown
The largest percentage decline from an earlier peak, using total returns with reinvested distributions.
Uses up to five years through the last close, with at least 12 months required.
- 0.57
How it’s calculated: beta
The beta figure is supplied by FMP. The comparison index depends on the fund’s broad asset class.
SCEP Cost
0.65%
SCEP0.65%
- The middle half of Active Option Income funds
- Median 0.95%
8 of the 51 Active Option Income funds charge less.
Other funds in Active Option Income
- ASTOXHorizon Funds - Horizon Core Equity ETFExpense ratio 0.70%1 year return +20.7%
- AIINCAlki Consolidated Income ETFExpense ratio 0.75%1 year return —
- BADMEAptus Drawdown Managed Equity ETFExpense ratio 0.79%1 year return +14.0%
- BCTEFEA Series Trust - Castellan Targeted Equity ETFExpense ratio 0.45%1 year return +42.2%
- BPAYRFederated Hermes ETF Trust - Federated Hermes Enhanced Income ETFExpense ratio 0.74%1 year return +16.8%