When BIGY launched, the market environment allowed for a distribution of 31.25 cents per unit twice per month. Today we’re resetting the distribution to 20 cents per unit, to reflect the change in market conditions since the fund’s inception. Reviewing our distributions is a regular part of how we manage our covered call funds: we adjust them as markets change and have raised distributions on other funds where appropriate. For example, Evolve recently announced increased distribution amounts for SIXY from 21 to 27 cents per unit twice per month on July 17, 2026.¹ 

BIGY’s distribution update also affects EASY. Because EASY currently holds BIGY as one of its underlying funds, BIGY’s reset flows through to EASY’s distribution, which is moving from 31 cents to 25.5 cents per unit twice per month.¹

As of the date of this blog, Evolve manages over $10 billion in assets, including roughly $4.4 billion in covered call funds. Evolve launched its first covered call fund in 2017 and runs 22 covered call funds today. 

How BIGY works 

BIGY follows the UltraYield™ approach: it holds a diversified portfolio of large, well-known companies, applies leverage of up to 33%² to enhance income and growth potential, and layers an actively managed covered call program on top to generate high income, paid twice per month. The companies it holds are chosen with that income program in mind, favouring large, liquid names with active options markets and meaningful premiums. 

BIGY writes calls on roughly half the portfolio, often using weekly options, and sets the strike prices as needed to fund its distribution. While all our covered call overlays are actively managed, UltraYield funds target a higher level of income, which means the funds may write calls closer to the current share price (nearer “at the money”) to help fund the distribution. This increases the premium the fund collects in exchange for giving up more of the upside.  

Why the distribution is being reset 

BIGY pays regular cash distributions of an amount determined by the manager. Since inception, the fund has had a strong weight in mega-cap technology (the “Magnificent Seven”) and crypto-linked names. Those areas were less correlated with the overall market than we expected, in an environment tied largely to AI investment trends, which has weighed on the fund’s unit price and left the prior distribution above the level the strategy can sustainably support. In response, we have since broadened BIGY’s portfolio from 10 positions to over 20 to cover a wider range of sectors, reducing concentration and volatility.¹

The recent period has also been unusually volatile. That volatility helped on the income side, letting BIGY earn strong options premiums to fund its distribution, but it also worked against the fund on the downside, where its leverage² magnified the decline in the underlying holdings and covered calls reduced participation in recovery rallies. The net result was a lower unit price and a distribution above what the fund can sustainably pay. 

Why we feel the reset is the right step 

We recognize this reduces the income received by investors, and for unitholders who have also felt the decline in the unit price, it lands at an already difficult time. So it’s worth being clear about why we see this as the right step for the fund. Paying an outsized distribution while the fund is down works against a recovery: every dollar paid out above what the strategy earns is a dollar that can’t participate in a rebound. Bringing the distribution in line with current market conditions leaves more capital working inside the fund, supporting its ability to recover in rising market environments. 

What this means

The reset realigns BIGY’s distribution, not how the fund works or what it holds. It remains a high-income ETF, still holding leading U.S. companies and running the same active covered call program, still paying income twice per month. 

It’s worth remembering the trade-off that comes with the strategy. Because BIGY sells some of its upside to earn premiums, it won’t fully capture a strong rally, and because it uses leverage,² a falling market hits harder. BIGY is built for investors who are looking for high, regular income and who accept the risk that comes with it. 

How this flows through to EASY 

EASY is an all-in-one fund that holds a mix of our UltraYield funds, with current portfolio weightings at approximately 45% BIGY, 30% CANY and 25% INTY¹, and passes through the income it receives from them to its own unitholders. When one of those funds resets its distribution, that change flows through to EASY. 

In this case, only BIGY’s distribution is changing; while CANY and INTY are unchanged. EASY continues to hold all three funds and stays diversified across them. Its distribution is simply being updated to reflect BIGY’s, moving from 31 cents to 25.5 cents per unit twice per month.¹

To learn more about BIGY, EASY and the full UltraYield lineup, visit evolveetfs.com. To read the full press release, click here. 

 

Disclaimers 

¹ As at August 18, 2026. 

² Leverage increases risk. 

Published August 18, 2026 

Evolve Funds Group Inc. is the investment fund manager and portfolio manager. All funds described herein are offered by Evolve Funds Group Inc. and distributed through authorized dealers. 

The information contained herein is a general description and is not intended to be specific investment advice to any particular investor nor intended to be investment or tax advice. You should not act or rely on the information contained herein without seeking the advice of an appropriate professional advisor. The information contained herein is intended for informational purposes as a summary only, does not constitute an offer to sell any securities or a legally binding obligation, it is qualified entirely by, and should be read in conjunction with, the more detailed information appearing in the prospectuses found on the Evolve Funds Group Inc website at https://evolveetfs.com/ 

Leverage increases risk.  

Commissions, trailing commissions, management fees and expenses all may be associated with exchange traded funds (ETFs). Please read the prospectus before investing. ETFs are not guaranteed, their values change frequently and past performance may not be repeated. 

Certain statements contained herein are forward-looking. Forward-looking statements (“FLS”) are statements that are predictive in nature, depend upon or refer to future events or conditions, or that include words such as “may,” “will,” “should,” “could,” “expect,” “anticipate,” “intend,” “plan,” “believe,” or “estimate,” or other similar expressions. Statements that look forward in time or include anything other than historical information are subject to risks and uncertainties, and actual results, actions or events could differ materially from those set forth in the FLS. FLS are not guarantees of future performance and are by their nature based on numerous assumptions. Although the FLS contained herein are based upon what Evolve Funds Group Inc. and the portfolio manager believe to be reasonable assumptions, neither Evolve Funds Group Inc. nor the portfolio manager can assure that actual results will be consistent with these FLS. The reader is cautioned to consider the FLS carefully and not to place undue reliance on FLS. Unless required by applicable law, it is not undertaken, and specifically disclaimed that there is any intention or obligation to update or revise FLS, whether as a result of new information, future events or otherwise.