Quality Equity Selection
A distinct “ACTIVE-ACTIVE” approach to derivative income.
The Enhanced Dividend Income ETF (ticker: SCLZ) focuses on total return, seeking both sustainable income and capital appreciation, via actively managed covered call-writing on individual names within a quality dividend growth stock portfolio.
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Actively Seeking More – Our distinct “ACTIVE-ACTIVE” approach seeks to enhance total return and improve growth of capital potential, while distributing attractive levels of regular income.
A compelling ‘dual alpha’ enhanced income solution.
As of 01/17/2026
Distribution Rate: The annual rate an investor would receive if the most recent fund distribution remained the same going forward. The distribution rate represents a single distribution from the Fund and is not a representation of the Fund’s total return. The distribution rate is calculated by multiplying the most recent distribution by 12 (monthly distribution) to annualize it, and then dividing by the Fund’s NAV.
As of the most recent distribution by the Fund, 0% was estimated to be return of capital. For information and a more comprehensive breakdown of the distributions, please see the 19a-1 Notice.
Distributions are made monthly and will comprise of dividends, capital gains, and return of capital to varying degrees over time. There is no guarantee the Fund will pay a distribution. Distributions may exceed the Funds’ income and gains for the Funds’ taxable year. Distributions in excess of the Funds’ current and accumulated earnings and profits will be treated as a return of capital, which may have adverse tax consequences upon disposition or sale of Fund shares. These do not imply rates for any future distributions.
SEC 30-Day Yield is based on a formula mandated by the Securities and Exchange Commission (SEC) that calculates a fund’s hypothetical annualized income, as a percentage of its assets. A security’s income, for the purposes of this calculation, is based on the current market yield to maturity (in the case of bonds) or projected dividend yield (for stocks) of the fund’s holdings over a trailing 30-day period. This hypothetical income will differ (at times, significantly) from the fund’s actual experience; as a result, income distributions from the fund may be higher or lower than implied by the SEC yield.
30-Day Median Bid/Ask Spread: An individual looking to sell a security will receive the bid price while one looking to buy will pay the ask price. The 30-median bid/ask spread is the value of the bid/ask spread that is the middle value of the ordered set of bid/ask spreads from the previous 30 trading days. A bid-ask spread is the difference between the highest price that a buyer is willing to pay for a security and the lowest price that a seller is willing to accept.
The NAV is the dollar value of a single share, based on the value of the underlying assets of the fund minus its liabilities, divided by the number of shares outstanding. Calculated at the end of each business day. The Price is the current price at which shares are bought and sold. Market returns are based upon the last trade price.
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| CUMULATIVE (%) | ANNUALIZED (%) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 Mo. | 3 Mo. | 6 Mo. | YTD | Since Inception (12/22/2020) | 1 Yr. | 3 Yr. | Since Inception (12/22/2020) | ||||
| Month end as of 12/31/2025 | |||||||||||
| NAV | 0.93 | 2.67 | 7.80 | 10.92 | 24.05 | 10.92 | - | 12.38 | |||
| Price | 1.07 | 2.80 | 7.91 | 11.10 | 24.22 | 11.10 | - | 12.46 | |||
| Cboe S&P 500 BuyWhite Index | 1.65 | 6.53 | 10.29 | 8.91 | 26.64 | 8.91 | 13.52 | 13.65 | |||
| S&P 500 TR Index | 0.06 | 2.66 | 11.00 | 17.88 | 38.36 | 17.88 | 23.01 | 19.22 | |||
| Quarter end as of 12/31/2025 | |||||||||||
| NAV | 0.93 | 2.67 | 7.80 | 10.92 | 24.05 | 10.92 | - | 12.38 | |||
| Price | 1.07 | 2.80 | 7.91 | 11.10 | 24.22 | 11.10 | - | 12.46 | |||
| Cboe S&P 500 BuyWhite Index | 5.09 | 10.94 | 6.20 | 6.20 | 24.66 | 15.16 | 19.71 | 17.84 | |||
| S&P 500 TR Index | 2.66 | 1.90 | -1.25 | -1.25 | 14.82 | 10.25 | 9.39 | 10.85 | |||
Total returns are based on the closing market price of the ETF on the date shown above.
The performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment returns and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance data for the most recent month-end can be requested by calling (877) 383-7259/ (877) ETF-SCLZ.
Fund NAV: The dollar value of a single share, based on the value of the underlying assets of the fund minus its liabilities, divided by the number of shares outstanding. Calculated at the end of each business day.
Closing Price: The current price at which shares are bought and sold. Market returns are based upon the last trade price.
| Term | Cal. Yr. 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 |
|---|---|---|---|---|---|
| Days at premium | 184 | 38 | 47 | 51 | 6 |
| Days at discount | 46 | 20 | 12 | 5 | 4 |
The table and line graph are provided to show the frequency at which the closing price of the Fund was at a premium (above) or discount (below) to the Fund’s daily net asset value (“NAV”). The table and line graph represent past performance and cannot be used to predict future results. Shareholders may pay more than NAV when buying Fund shares and receive less than an NAV when those shares are sold because shares are bought and sold at current market prices.
Our Distinct, ‘Active-Active’ Approach
Seeking Sustainable Yield and Capital Appreciation
Our innovative “active-active” approach behind the Enhanced Dividend Income ETF is based on two key components.
1
Quality Equity Selection
Select quality stocks with sound growth potential
2
Active Options Overlay
Actively manage options on individual stocks
For investors actively seeking more.
Stand out in a field of passive strategies that often:
– Cannot adapt to changing market conditions,
– Unduly cap upside potential,
– May erode an investor’s capital base over time.
Leverage the benefits of a distinct, ‘active-active’ approach focusing on total return to provide income and more capital appreciation.
Many covered call or derivative income strategies are passive in nature- either in their underlying (i.e. utilize an index for equity exposure) and/or in their management of the options, which may result in lower premium potential and/or limit upside participation.
The Swan Enhanced Dividend Income ETF is focused on total return, utilizing our distinct ‘active-active’ approach seeking to enhance both the upside participation with underlying equity holdings and the option premium collection potential.
Typical, Passive Covered Call
Our ‘Active-Active’ Approach
The Swan Enhanced Dividend Income ETF provides investors with a distinct ‘active-active’ approach to enhanced total return potential that may be applied in a variety of contexts:
1. Alternative Core Equity
Equity market exposure with potentially less volatility
2. Complement Fixed Income
Reduce duration risk while seeking current income & capital appreciation
3. Put Cash to Work
Seek growth of capital and aim to outperform cash yields
Investors should carefully consider the investment objective, risks, charges, and expenses of the Swan Enhanced Dividend Income Fund. This and other information are contained in the prospectus and should be read carefully before investing. For a prospectus, please call (877) 896-2590. Please read the prospectus carefully before you invest.
The fund’s investment objective is to seek income and modest capital appreciation.
An investment in the fund involves risk, including possible loss of principal.
Exchange Traded Funds and Mutual Funds involve risk, including possible loss of principal. There is no guarantee the Fund will meet its objective. The fund will use put and call options, which are referred to as “derivative” instruments since their values are based on, or derived from, an underlying reference asset, such as an index. Derivatives can be volatile, and a small investment in a derivative can have a large impact on the performance of the Fund as derivatives can result in losses in excess of the amount invested. Options used by the Fund to reduce volatility and generate returns may not perform as intended. There can be no assurance that the Fund’s option strategy will be effective. It may expose the Fund to losses, e.g., option premiums, to which it would not have otherwise been exposed. Further, the option strategy may not fully protect the Fund against declines in the value of its portfolio securities. The prices of options may change rapidly over time and do not necessarily move in tandem with the price of the underlying securities. Selling call options reduces the Fund’s ability to profit from increases in the value of the Fund’s equity portfolio, and purchasing put options may result in the Fund’s loss of premiums paid in the event that the put options expire unexercised. To the extent that the Fund reduces its put option holdings relative to the number of call options sold by the Fund, the Fund’s ability to mitigate losses in the event of a market decline will be reduced.
Shares of any ETF are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.
The Fund is distributed by Northern Lights Distributors, LLC, member FINRA/SIPC. Northern Lights Distributors, LLC and Swan Capital Management, LLC are not affiliated. There is no guarantee the fund will meet its objective.
Definitions:
Options: An option is a contract that gives the buyer the right to either buy (in the case of a call option) or sell (in the case of a put option) an underlying asset at a pre-determined price by a specific date. Options are a powerful tool for creating a wide array of potential payoff profiles and may be used on a standalone basis or integrated into a broader portfolio strategy.
Expiry is the time until an option expires. In the context here, expiry is used to describe the length of time from when an option position is initiated to when it will expire.
NAV is the dollar value of a single share, based on the value of the underlying assets of the fund minus its liabilities, divided by the number of shares outstanding. Calculated at the end of each business day.
Market Price is the current price at which shares are bought and sold. Market returns are based upon the last trade price.
A call option is a financial contract that gives the buyer the right to buy an underlying asset at a specific price within a specific period.
A covered call is a strategy of selling call options on an investor’s long position in a stock or futures contract. It can generate income in the form of option premium, lower risk, and improve returns by selling the right to buy stock shares or the call options contracts at a predetermined price.
Out of the Money refers to an options contract where an option’s strike price, or the price at which the option contract can be exercised, is much lower or higher than the price of the underlying security, and therefore the option contract only contains extrinsic value.
Extrinsic value measures the difference between the market price of an option, called the premium, and its intrinsic value. Extrinsic value is also the portion of the worth that has been assigned to an option by factors other than the underlying asset’s price. The opposite of extrinsic value is intrinsic value, which is the inherent worth of an option.
At the Money refers to an options contract where an option’s strike price, or the price at which the option contract can be exercised, is identical to the price of the underlying security.
Near the Money refers to an options contract where an option’s strike price is close to the current market price of the corresponding underlying security.
Strike Price is the price at which an option contract can be exercised, either to buy or sell the underlying security.
Option premium is the total amount that an investor will pay for an option.
Duration reflects how much a bond’s value is expected to move when interest rates rise or fall, and is used as a tool to determine the change in a bond’s value in relation to interest rate movements.
Volatility is a statistical measurement of the degree of variability of the return of a security or market index.
Standard Deviation is a measure of the dispersion of a set of data from its mean. The more spread apart from the benchmark, the higher the deviation.
Beta is a measure of the volatility or dispersion of a security or a portfolio in comparison to the market as a whole.
Max drawdown measures the most significant percentage decline in the value of an investment or portfolio from its peak to its lowest point before a new peak is achieved.
The Cboe S&P 500 BuyWrite IndexSM (BXM) is a benchmark index designed to track the performance of a hypothetical buy-write strategy on the S&P 500 Index®. A “Buy-Write” strategy is generally considered to be an investment strategy in which an investor buys a stock or a basket of stocks, and also writes (or sells) covered call options that correspond to the stock or basket of stocks.
The Standard & Poor’s (S&P) 500 Total Return Index is an unmanaged, market-capitalization-weighted index of the 500 largest U.S. publicly traded companies by market value, and assumes any distributions are reinvested back into the index. Indexes are unmanaged, and one cannot invest directly in an index.