Defiance helium ETF registration takes effect, with no shares outstanding

The filing says the Defiance Helium and Strategic Gases ETF HELI, a fund of gas and cryogenics companies, had not started operating and that no shares were outstanding. It names the Nasdaq Stock Market as the exchange and gives no date when shares would trade. Tidal Investments LLC is the adviser, and Defiance ETFs, LLC is the sponsor under a fund sponsorship agreement. The explanatory note says Post-Effective Amendment No. 69 responds to staff comments on the new fund and makes other changes the rules allow.

The fund seeks to track the MarketVector Helium and Strategic Gases Index, before fees and expenses. MarketVector launched that index on Friday, August 28. The index generally targets 10 companies. A company generally needs at least 50% of its revenue from industrial and specialty gases, cryogenics, gas equipment and services, or a mix of those. A company already in the index can remain with 25%. Companies that earn revenue from helium rank ahead of those that pass the test without it. Every quarter the index updates its list and generally sets the stocks at equal weights, subject to limits tied to how much each stock trades.

The management fee is 0.65% of assets, and the adviser pays the fund's ordinary expenses out of that fee, apart from costs such as interest, taxes, and brokerage. Tidal Trust V's advisory schedule lists other Defiance funds at 0.58% to 0.79%, with several at 0.65%. The fee table puts estimated other expenses, which the filing says include broker interest, at 0.02%, and total annual operating expenses at 0.67%. The filing states no fee waiver.

Three funds already on the market are named here, and only in older agreements this amendment incorporates. They are Defiance Global Foundries ETF —AIFR, a fund of semiconductor foundry companies, Defiance China Memory ETF —CRAM, a China memory fund, and Defiance KSM Israel 120 ETF —ISRL, an Israeli stock fund. The amendment does not change their terms.