The Leatherback Long/Short Alternative Yield ETF (LBAY) (the “Fund”) net asset value (NAV) declined by -4.49% in April 2026, compared to an increase of 10.49% for the S&P 500 Index. LBAY paid our sixty-fifth consecutive monthly distribution, at $0.085 per share in April. This is a 2.87% SEC yield versus the S&P 500 Index dividend yield of approximately 1.10%, and the 10-Year US Treasury yield of 4.39%*.
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. Performance current to the most recent month-end can be obtained by calling (833) 417-0090. The gross expense ratio for the fund is 1.27%.
View LBAY standardized performance here.
The Fund’s NAV is the sum of all its assets less any liabilities, divided by the number of shares outstanding. The market price is the most recent price at which the Fund was traded.
*The S&P 500 Index includes 500 leading companies and covers approximately 80% of the available market capitalization. The S&P 500 Dividend Yield is the estimated sum of all dividends paid by the index’s stocks in the last 12 months, divided by the index market capitalization as reported by the S&P. The dividend yield does not represent or predict the performance of the Fund. Indexes are unmanaged and it is not possible to invest in an index. The 30-day SEC yield is calculated with a standardized formula mandated by the SEC. The formula is based on maximum offering price per share and does not reflect waivers in effect. The 30-day SEC yield is calculated from the 30 days ending on the last day of the previous month. This figure reflects income less expenses and approximates the yield an investor would receive in a 12-month period if a fund continues earning the same rate for the rest of the year. View the 30-day SEC yield here. The US Treasury yield reflects the interest rate the US government could expect to pay to borrow money for different periods of time.
BEATEN-DOWN STOCKS CATCH A BREAK
April brought a strong bid in momentum-related securities as market participants began to look past the U.S. / Iran conflict. An encouraging start to earnings season revived investor demand for semiconductor industry stocks and familiar AI–themed names. Market sentiment was firmly risk-on as investors piled back into areas that had been punished in the first quarter. AI-related companies now account for 45% of total S&P 500 market capitalization and are expected to drive 40% of earnings growth this year, according to research by Goldman Sachs.1
Although LBAY’s 10.93% year-to-date market price performance (as of April 30, 2026) remains solid, the dramatic rebound in high-beta momentum stocks presented a challenging environment in April. Modest gains in our long positions were more than offset by negative returns in the short book as lower quality stocks caught a tailwind. While short-selling was generally difficult during the period, our top-performing individual short positions included Moderna & Ollie’s Bargain Outlet Holdings.
TOP INDIVIDUAL CONTRIBUTORS
Long KEURIG DR PEPPER (KDP). Shares of the beverage conglomerate rallied through the month, moving sharply higher after the company reported strong results for the first quarter. Earnings per share came in higher than analyst expectations, and management reaffirmed full year guidance for 2026.2 KDP completed its acquisition of JDE Peete’s in early April with plans to split into two independent companies; one focused on beverages, the other on coffee.
Long CARRIER GLOBAL (CARR). The company manufactures heating, cooling, fire, and security systems. Carrier’s stock surged higher after reporting a solid set of quarterly results including a 500% increase in orders related to data center demand. Management reaffirmed its 2026 guidance, and results showed an order backlog that fulfills estimates for full year datacenter sales.
TOP INDIVIDUAL DETRACTORS
Short CREDO TECHNOLOGY GROUP (CRDO). Our short position in Credo weighed on performance in April as the company sits squarely in the AI infrastructure space, providing high speed / lower power connectivity for datacenters. Credo’s shares advanced during the month after it announced plans to acquire DustPhonics.3 We believe the stock is overvalued with forward estimates relying on an extremely high growth trajectory.
Short COREWEAVE (CRWV). We maintain a short position in Coreweave, which owns and operates a rapidly expanding network of datacenters. Its stock rallied in April as investors found renewed enthusiasm for AI infrastructure, and the company announced deals with Meta and Anthropic. We believe the stock is overvalued as Coreweave maintains a high degree of financial leverage with plans for additional large-scale capital expenditure. Despite significant revenue growth, the company’s earnings per share are negative.
NOTABLE TRADES EXECUTED
Buys (Long):
Berkshire Hathaway (BRK.B). We initiated a position in Berkshire Hathaway during the month as its valuation became compelling. In its first annual shareholder meeting under CEO Greg Abel, the company announced a record cash balance of $397B in the first quarter. Leatherback is not alone in purchasing Berkshire shares, as the company also announced approximately $234M was spent on stock buybacks in March.4 This was Berkshire’s first share repurchase since May 2024.
Barrick Mining Corporation (B). We bought shares of the mining giant as the company proceeds with plans to spinoff its North American gold assets through an IPO by the end of this year.5 The remaining company will be focused on copper production. We believe this presents an attractive opportunity, combined with Barrick’s more than 4% dividend yield (as of April 30, 2026) as we wait for the spinoff to close.
Other noteworthy activity in the fund’s long book included an addition to our Visa (V) position, bringing the company into the fund’s top 10 holdings as of April 30, 2026. We believe Visa can continue to benefit from inflation. We trimmed our Dow (DOW) and Bunge Global (BG) positions. We also exited positions in LyondellBasell Industries (LYB), Marzetti (MZTI), Zimmer Biomet Holdings (ZBH), and Rio Tinto (RIO).
Sells (Short):
KKR & Co. (KKR). We initiated a short position in the private equity company due to concerns related to its private credit business. KKR’s private credit funds have experienced increased levels of non-performing loans, leading to a credit rating downgrade for one of its funds. With relatively high exposure to the software industry and heightened anxiety among investors, escalating redemption requests have led the company to limit redemptions for some of its funds, which could cause selling pressure to build.
Other notable actions taken in the short book during April included closing our short position in Evercore (EVR) after the company reported poor results. We also exited our short position in BlackRock (BLK).
POSITIONING NOTES AS OF 4/30/2026
We are skeptical of the extremely high valuations in some areas of the equity market where growth estimates appear irrational, in our opinion. We also remain cautious on monetary policy, leading us to favor exposure to hard assets and quality businesses with tangible economic value. For long positions, we seek solid companies that prioritize shareholder yield through dividends and stock buybacks while offering the potential for capital gains. Our short positions consist of individual companies we think are overvalued or overhyped and are likely to decline in share price. We see plenty of opportunities both long and short in this environment.
View LBAY top 10 holdings here. Holdings are subject to change. Characteristics and metrics of the companies shown are for the underlying securities in the fund’s portfolio and do not represent or predict the performance of the fund. There is no guarantee that a company will pay or continually increase its dividend. Section Source: Bloomberg, unless otherwise noted.
**Definitions: A basis point is one hundredth of one percent. One basis point is 0.01%. Earnings per Share Estimate is a company’s expected future annual earnings per share, as estimated by professional analysts. Trailing Price to Earnings (P/E) is the ratio for valuing a company that measures current share price divided by its earnings per share over the last 12 months. Forward Price to Earnings Multiple (P/E) is the ratio for valuing a company that measures current share price divided by its forecasted earnings per share. The cyclically adjusted price to earnings (CAPE) is a ratio that divides a company's or index's current market price by the average inflation-adjusted earnings per share of the last 10 years. Price to Book (P/B) is the ratio for valuing a company that measures current share price divided by book value per share. Book value is a company’s total assets minus liabilities. Price to Sales is the ratio for valuing a company that measures current share price to revenue, indicating how much investors are willing to pay for each dollar of sales. The Q ratio is a financial metric that compares a company's market value to the replacement cost of its assets. The market cap-to-GDP ratio, also known as the "Buffett Indicator," measures a country's total stock market capitalization relative to its Gross Domestic Product (GDP). It's calculated by dividing the total market value of all publicly traded companies by the country's annual GDP. Enterprise Value (EV) is a measure of a company’s total value, and includes market capitalization, cash, and debt. EBITDA is a company’s earnings before interest, taxes, depreciation, and amortization. EV/EBITA may be used as a measure of the value of a company and its operating performance. EV/Sales multiple is the Enterprise Value to trailing 12-month sales ratio. Price to Sales (P/S) ratio is the company's stock price to its revenue, and can offer an indication of how much investors are willing to pay for each dollar of sales.
1 Source: https://www.goldmansachs.com/insights/articles/us-stocks-forecast-to-rise-in-2026
2 Source: https://www.keurigdrpepper.com/keurig-dr-pepper-reports-q1-results-and-reaffirms-guidance-for-2026/
3 Source: https://investors.credosemi.com/news-events/news/news-details/2026/Credo-Agrees-to-Acquire-DustPhotonics-Accelerating-Expansion-into-Silicon-Photonics-and-Next-Generation-Optical-Connectivity/default.aspx
4 Source: https://finance.yahoo.com/markets/stocks/articles/greg-abels-234-million-buy-102600139.html
5 Source: https://www.barrick.com/English/news/news-details/2025/barrick-announces-evaluation-of-an-IPO-of-its-north-american-gold-assets/default.aspx
Opinions expressed are subject to change at any time, are not guaranteed, and should not be considered investment advice.
Investing involves risk, including loss of principal.
Before investing you should carefully consider the fund’s investment objectives, risks, charges and expenses. This and other information is in the prospectus, a copy of which may be obtained from 833-417-0090. Please read the prospectus carefully before you invest.
“Long” and “short” are investment terms used to describe ownership of securities. To buy
securities is to “go long.” The opposite of going long is “selling short.” Short selling is an advanced trading strategy that involves selling a borrowed security. Short sellers make a profit if the price of the security goes down and they are able to buy the security at a lower
amount than the price at which they sold the security short. Since the Funds are actively managed, they do not seek to replicate the performance of a specified index. The Funds therefore may have higher portfolio turnover and trading costs than index-based funds.
As with all ETFs, Fund shares may be bought and sold in the secondary market at market prices. The market price normally should approximate the Fund's net asset value per share (NAV), but the market price sometimes may be higher or lower than the NAV. The Fund is new with a limited operating history. There are a limited number of financial institutions authorized to buy and sell shares directly with the Fund; and there may be a limited number of other liquidity providers in the marketplace. There is no assurance that Fund shares will trade at any volume, or at all, on any stock exchange. Low trading activity may result in shares trading at a material discount to NAV.
The securities of large-capitalization companies may be relatively mature compared to smaller companies and therefore subject to slower growth during times of economic expansion. Investments made in small and mid-capitalization companies may be more volatile and less liquid due to limited resources or product lines and more sensitive to economic factors. The Fund uses short sales and derivatives (options), both of which may involve substantial risk. The loss on a short sale is in principle unlimited since there is no upward limit on the price of a shorted asset. The potential loss from a derivative may be greater than the amount invested due to counter-party default; illiquidity; or other factors. Through its investments in real estate investment trusts (REITs), the Fund is subject to the risks of investing in the real estate market, including decreases in property revenues, increases in interest rates, increases in property taxes and operating expenses, legal and regulatory changes, a lack of credit or capital, defaults by borrowers or tenants, environmental problems and natural disasters. The fund is classified as “non-diversified” and may invest a relatively high percentage of its assets in a limited number of issuers. Asa result, the fund may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers.
The Fund's exposure to master limited partnerships (MLPs) may subject the Fund to greater volatility than investments in traditional securities. The value of MLPs and MLP based exchange traded funds and notes may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or sectors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs, and international economic, political and regulatory developments. Business development companies (BDCs) generally invest in debt securities that are not rated by a credit rating agency and are considered below investment grade quality (“junk bonds”). Little public information generally exists for the type of companies in which a BDC may invest and, therefore, there is a risk that the Fund may not be able to make a fully informed evaluation of the BDC and its portfolio of investments.
Foreside Fund Services, LLC, Distributor
Before investing you should carefully consider the Fund's investment objectives, risks, charges and expenses. This and other information is in the prospectus. A prospectus may be obtained by clicking here. Please read the prospectus carefully before you invest.
“Long” and “short” are investment terms used to describe ownership of securities. To buy securities is to “go long.” The opposite of going long is “selling short.” Short selling is an advanced trading strategy that involves selling a borrowed security. Short sellers make a profit if the price of the security goes down and they are able to buy the security at a lower amount than the price at which they sold the security short.
Since the Funds are actively managed they do not seek to replicate the performance of a specified index. The Funds therefore may have higher portfolio turnover and trading costs than index-based funds.
LBAY Risks: Investing involves risk, including the loss of principal. As with all ETFs, Fund shares may be bought and sold in the secondary market at market prices. The market price normally should approximate the Fund’s net asset value per share (NAV), but the market price sometimes may be higher or lower than the NAV. The Fund is new with a limited operating history. There are a limited number of financial institutions authorized to buy and sell shares directly with the Fund; and there may be a limited number of other liquidity providers in the marketplace. There is no assurance that Fund shares will trade at any volume, or at all, on any stock exchange. Low trading activity may result in shares trading at a material discount to NAV.
The Fund uses short sales and derivatives (options), both of which may involve substantial risk. The loss on a short sale is in principle unlimited since there is no upward limit on the price of a shorted asset. The potential loss from a derivative may be greater than the amount invested due to counter-party default; illiquidity; or other factors. The Fund may hold illiquid assets which may cause a loss if the Fund is unable to sell an asset at a beneficial time or price.
Through its investments in REITs, the Fund is subject to the risks of investing in the real estate market, including decreases in property revenues, increases in interest rates, increases in property taxes and operating expenses, legal and regulatory changes, a lack of credit or capital, defaults by borrowers or tenants, environmental problems and natural disasters.
The Fund’s exposure to MLPs may subject the Fund to greater volatility than investments in traditional securities. The value of MLPs and MLP based exchange traded funds and notes may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or sectors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs, and international economic, political and regulatory developments.
BDCs generally invest in debt securities that are not rated by a credit rating agency and are considered below investment grade quality (“junk bonds”). Little public information generally exists for the type of companies in which a BDC may invest and, therefore, there is a risk that the Fund may not be able to make a fully informed evaluation of the BDC and its portfolio of investments.
The Fund is classified as “non-diversified” and may invest a relatively high percentage of its assets in a limited number of issuers. As a result, the fund may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers.
Foreside Fund Services, LLC, Distributor
Tidal ETF Services, Launch and Structure Partner
Leatherback Asset Management, Foreside Fund Services, and Tidal ETF Services are not affiliated.
Before investing you should carefully consider the Fund's investment objectives, risks, charges and expenses. This and other information is in the prospectus. A prospectus may be obtained by clicking here. Please read the prospectus carefully before you invest.
“Long” and “short” are investment terms used to describe ownership of securities. To buy securities is to “go long.” The opposite of going long is “selling short.” Short selling is an advanced trading strategy that involves selling a borrowed security. Short sellers make a profit if the price of the security goes down and they are able to buy the security at a lower amount than the price at which they sold the security short.
Since the Funds are actively managed they do not seek to replicate the performance of a specified index. The Funds therefore may have higher portfolio turnover and trading costs than index-based funds.
LBAY Risks: Investing involves risk, including the loss of principal. As with all ETFs, Fund shares may be bought and sold in the secondary market at market prices. The market price normally should approximate the Fund’s net asset value per share (NAV), but the market price sometimes may be higher or lower than the NAV. The Fund is new with a limited operating history. There are a limited number of financial institutions authorized to buy and sell shares directly with the Fund; and there may be a limited number of other liquidity providers in the marketplace. There is no assurance that Fund shares will trade at any volume, or at all, on any stock exchange. Low trading activity may result in shares trading at a material discount to NAV.
The Fund uses short sales and derivatives (options), both of which may involve substantial risk. The loss on a short sale is in principle unlimited since there is no upward limit on the price of a shorted asset. The potential loss from a derivative may be greater than the amount invested due to counter-party default; illiquidity; or other factors. The Fund may hold illiquid assets which may cause a loss if the Fund is unable to sell an asset at a beneficial time or price.
Through its investments in real estate investment trusts (REITs), the Fund is subject to the risks of investing in the real estate market, including decreases in property revenues, increases in interest rates, increases in property taxes and operating expenses, legal and regulatory changes, a lack of credit or capital, defaults by borrowers or tenants, environmental problems and natural disasters.
The Fund’s exposure to master limited parterships (MLPs) may subject the Fund to greater volatility than investments in traditional securities. The value of MLPs and MLP based exchange traded funds and notes may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or sectors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs, and international economic, political and regulatory developments.
Business Development Companies (BDCs) generally invest in debt securities that are not rated by a credit rating agency and are considered below investment grade quality (“junk bonds”). Little public information generally exists for the type of companies in which a BDC may invest and, therefore, there is a risk that the Fund may not be able to make a fully informed evaluation of the BDC and its portfolio of investments.
The Fund is classified as “non-diversified” and may invest a relatively high percentage of its assets in a limited number of issuers. As a result, the fund may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers.
Foreside Fund Services, LLC, Distributor
Tidal ETF Services, Launch and Structure Partner
