Harvest Strategy Inc. Enhanced High Income Shares ETF (MSTE.TO)

The fund seeks to provide long-term capital appreciation by investing on a leveraged basis in MicroStrategy Incorporated (ticker: MSTR) shares and high monthly cash distributions. The actively managed ETF also employs an active covered call strategy, reviewed monthly, on up to 50% of the portfolio. Call options are typically written at-the-money, but the manager may write out-of-the-money options at its discretion. This strategy limits participation in potential gains in exchange for income. The fund may invest up to 100% of its assets directly or indirectly in MSTR shares and could apply a modest leverage of around 25%. Aside from the leverage, compared to traditional ETFs, the shares take on added volatility due to the lack of diversification. Purchasers should conduct…