ETF Evaluator: XFUNDS™ Large Cap Income ETF (VOOY) Follow This ETF

XFUNDS™ Large Cap Income ETF Overview

XFUNDS™ Large Cap Income ETF (VOOY) is an actively managed Nontraditional Equity Derivative Income exchange-traded fund (ETF). Xfunds launched the ETF in 2026.

The investment seeks capital appreciation. The fund’s secondary investment objective is to seek current income. Under normal circumstances, the fund will invest at least 80% of the value of its assets, plus borrowings for investment purposes, in (1) U.S. large-cap equity securities and ETFs that track U.S. large-cap equity indices and (2) options on such securities or on indices that track U.S. large-cap securities. For purposes of the foregoing, the managers define large-cap equity securities as securities of companies having a market capitalization exceeding $10 billion. The fund is non-diversified.

About XFUNDS™ Large Cap Income ETF (VOOY)

There are 3 members of the management team with an average tenure of 0.08 years: David Nicholas (2026), Scott Snyder (2026) and Quinn Berry (2026). Management tenure is more important for actively managed ETFs than passive index ETFs.

XFUNDS™ Large Cap Income ETF has 13 securities in its portfolio. The top 10 holdings constitute 100.9% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a nondiversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.

XFUNDS™ Large Cap Income ETF is part of the Equity global asset class and is within the Nontraditional Equity ETF group. XFUNDS™ Large Cap Income ETF has 0.5% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 98.2% There is 0.5% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). XFUNDS™ Large Cap Income ETF has 0.9% of the portfolio in cash.

Assets Under Management

The fund has $2 million in total assets, which is below the $734 million average for the Derivative Income category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

VOOY Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The XFUNDS™ Large Cap Income ETF expense ratio is above average compared to funds in the Derivative Income category. XFUNDS™ Large Cap Income ETF has an expense ratio of 0.75%, which is 9% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. XFUNDS™ Large Cap Income ETF has a portfolio turnover rate of 0%, which indicates that it holds its assets around /years. By way of comparison, the average portfolio turnover is 56% for the Derivative Income category.

Recently, in the month of September 2026, XFUNDS™ Large Cap Income ETF returned 0.0%, which earned it a grade of NA, as the Derivative Income category had an average return of 0.4%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.

XFUNDS™ Large Cap Income ETF has a trailing yield of 0.00%, which is below the 20.00% category average. The fund normally distributes its income monthly and its capital gains annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

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