ETF Evaluator: Global X Alternative Income ETF () Follow This ETF

Global X Alternative Income ETF Overview

Global X Alternative Income ETF (ALTY) is a passively managed Allocation Global Moderate Allocation exchange-traded fund (ETF). Global X Funds launched the ETF in 2015.

The investment seeks to track, before fees and expenses, the price and yield performance of the Indxx SuperDividend® Alternatives Index ("underlying index"). The fund invests at least 80% of its total assets in the securities of the underlying index and in American Depositary Receipts ("ADRs") and Global Depositary Receipts ("GDRs") based on the securities in the underlying index. The underlying index is intended to provide exposure to five income-producing categories: Master Limited Partnerships ("MLPs") and Infrastructure, Real Estate, Preferreds, Emerging Market Bonds and Covered Calls.

About Global X Alternative Income ETF (ALTY)

There are 2 members of the management team with an average tenure of 6.50 years: Wayne Xie (2019) and Vanessa Yang (2020). Management tenure is more important for actively managed ETFs than passive index ETFs.

The ETF has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and Indxx SuperDividend Alternatives TR USD index with a weighting of 100%. Global X Alternative Income ETF has 20 securities in its portfolio. The top 10 holdings constitute 88.3% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.

Global X Alternative Income ETF is part of the Allocation global asset class and is within the Allocation ETF group. Global X Alternative Income ETF has 23.3% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 57.1% There is 4.8% allocated to foreign stock, and 18.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 19.2% (0.6% domestic bond, 18.5% foreign bond and 0.0% convertible bond). Global X Alternative Income ETF has 0.7% of the portfolio in cash.

Assets Under Management

The fund has $45 million in total assets, which is below the $553 million average for the Global Moderate Allocation 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.

ALTY 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 Global X Alternative Income ETF expense ratio is average compared to funds in the Global Moderate Allocation category. Global X Alternative Income ETF has an expense ratio of 0.50%, which is 36% lower than its category average, making the fund expense ratio grade a C. 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. Global X Alternative Income ETF has a portfolio turnover rate of 11%, which indicates that it holds its assets around / 0.1 years. By way of comparison, the average portfolio turnover is 35% for the Global Moderate Allocation category.

Recently, in the month of July 2026, Global X Alternative Income ETF returned 0.1%, which earned it a grade of B, as the Global Moderate Allocation 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.

Global X Alternative Income ETF has a trailing yield of 7.47%, which is above the 4.27% 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.

Global X Alternative Income ETF Grades

Year to date, the ETF has returned 7.5%, 0.5 percentage points worse than the category, which translates into a grade of C. The fund has returned 13.9% over the past year (grade of F), 10.6% over the past three years (grade of F) and 5.7% per year over the past five years (grade of F) and 5.7% per year over the past 10 years (grade of F).

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