ZTWO Fees and Costs — F/m 2-Year Investment Grade Corporate Bond ETF
Data updated: 2026-07-28
The net expense ratio is 0.15%. There are no sales loads or redemption fees. In fiscal 2024 the fund paid $3.0M in broker commissions, 30.8804% of average net assets, and portfolio turnover was 35%.
ZTWO Fees and Expenses
Annual operating expenses and sales charges of ZTWO. Prospectus, as of December 31, 2025.
| Annual operating expenses | |
|---|---|
| Management fee | 0.15% |
| 12b-1 fee | 0.00% |
| Other expenses | 0.00% |
| Gross expense ratio | 0.15% |
| Fee waiver | — |
| Net expense ratio | 0.15% |
| Sales charges | |
|---|---|
| Max front load | — |
| Max deferred load | — |
| Redemption fee | — |
| Expense limitation in place (N-CEN) | No |
| Fees waived or reduced during the year | No |
| Waived fees subject to recoupment | No |
ZTWO Costs Over Time
On $10,000 invested in ZTWO, assuming 5% a year before costs, total costs come to $10,771 over 5 years, cutting the return by 32.58% a year. Illustration, not a forecast: it assumes today's net expense ratio throughout (a fee waiver may end).
| $10,000 invested | Sell after 1 year | Sell after 3 years | Sell after 5 years |
|---|---|---|---|
| Value before costs | $10,500 | $11,576 | $12,763 |
| Fund expenses (net expense ratio 0.15%) | $16 | $35 | $46 |
| Trading costs (broker commissions) | $3,242 | $7,291 | $9,414 |
| Lost growth on money paid in costs | $0 | $452 | $1,311 |
| Total costs | $3,258 | $7,778 | $10,771 |
| Value after costs | $7,242 | $3,798 | $1,992 |
| Impact on return, per year | 32.58% | 32.58% | 32.58% |
ZTWO Trading Costs
Brokerage costs reported on SEC Form N-CEN for the fiscal year ending August 31, 2024.
- Explicit cost rate (commissions ÷ average net assets): 30.8804%
- Total broker commissions: $3.0M
- Bought from dealers (principal trades, not a cost): $19.7M
- Portfolio turnover (prospectus): 35%
- Securities on loan, average value: $8K
- Net income from securities lending: $139 (0.001% of average net assets)
ZTWO Agency Brokers
Commissions paid.
| Broker | Amount | Share |
|---|---|---|
| MERRILL LYNCH INC. | $2.1M | 69.67% |
| JANE STREET EXECUTION SERVICES | $642K | 21.67% |
| CITADEL | $257K | 8.66% |
ZTWO Dealer Counterparties
Securities bought directly from dealers (principal trades).
| Broker | Amount | Share |
|---|---|---|
| MERRILL LYNCH INC. | $8.9M | 49.84% |
| GOLDMAN SACHS & CO | $6.7M | 37.06% |
| ALFA CAPITAL MARKETS INC. | $1.5M | 8.37% |
| BANC/AMERICA SECUR.LLC MONTGOMEY DIV | $324K | 1.81% |
| PERSHING LLC | $254K | 1.41% |
| WACHOVIA BANK N.A. | $111K | 0.62% |
| MILLENIUM ADVISORS | $47K | 0.26% |
| BANK OF NEW YORK | $46K | 0.26% |
| HARRIS CORP. | $45K | 0.25% |
| R.B.C. DOMINION SECURITIES INC. | $23K | 0.13% |
For information only. Not investment advice: figures are as reported in SEC filings and may contain errors or be out of date. Past performance does not guarantee future results.