As filed with the Securities and Exchange Commission on September 4, 2020
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF
REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-23227
SYNTAX ETF TRUST
(Exact Name of Registrant as Specified in Charter)
One Liberty Plaza, 46th Floor
New York, NY 10006
(Address of Principal Executive Offices) (Zip Code)
Registrant’s Telephone Number, including Area Code: (212) 880-0200
Kathy Cuocolo, One Liberty Plaza, 46th Floor New York, NY 10006
(Name and Address of Agent for Service)
Copies to:
Kathleen H. Moriarty
Counsel to the Trust
Chapman & Cutler LLP
1270 Avenue of the Americas, 30th Floor
New York, New York 10020
| Date of fiscal year end: | December 31 |
| Date of reporting period: | June 30, 2020 |
| Item 1: | Report(s) to Shareholders. |
The Semi-Annual Report is attached.
SEMI-ANNUAL
REPORT
Syntax Stratified
LargeCap ETF
Syntax Stratified
MidCap ETF
Syntax Stratified
SmallCap ETF
June 30, 2020
Beginning on
January 1, 2021, as permitted by regulations adopted by the U.S. Securities and Exchange Commission, paper copies of a Fund’s annual and semi-annual shareholder reports will no longer be sent by mail, unless you
specifically request paper copies of the reports from the Fund (or from your financial intermediary, such as a broker-dealer or bank). Instead, the reports will be made available on the Fund’s website
(www.syntaxadvisors.com), and you will be notified by mail each time a report is posted, and provided with a website link to access the report. If you already elected to receive reports electronically, you will not be
affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications by contacting your financial intermediary.
You may elect to
receive all future reports in paper free of charge. If you invest through a financial intermediary, you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder
reports. Your election to receive reports in paper will apply to all funds held in your account.
Syntax ETF Trust
Semi-Annual Report
June 30, 2020
(Unaudited)
June 30, 2020
(Unaudited)
Table of
Contents
This report is not
authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.
Syntax Stratified LargeCap ETF
Schedule of Investments
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
1
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
2
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
3
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
4
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
5
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
| Security Description | Shares | Value |
| RIGHTS—0.0% | ||
T-Mobile US, Inc.(a) | 849 | $142 |
INVESTMENTS IN COMMON STOCK—99.8% (Cost $32,048,226) | 33,014,353 | |
OTHER ASSETS IN EXCESS OF LIABILITIES—0.2% | 80,862 | |
NET ASSETS—100.0% | $33,095,215 |
| (a) | Non-income producing security. |
| PLC=Public Limited Company |
| REIT=Real Estate Investment Trust |
See accompanying notes to financial
statements.
6
Syntax Stratified LargeCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
INDUSTRY BREAKDOWN
AS OF JUNE 30, 2020*
See
accompanying notes to financial statements.
7
Syntax Stratified MidCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
8
Syntax Stratified MidCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
9
Syntax Stratified MidCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
10
Syntax Stratified MidCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to financial
statements.
11
Syntax Stratified MidCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
INDUSTRY BREAKDOWN
AS OF JUNE 30, 2020*
See
accompanying notes to financial statements.
12
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
13
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
14
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
15
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
16
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
17
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
See accompanying notes to
financial statements.
18
Syntax Stratified SmallCap ETF
Schedule of
Investments (continued)
June 30, 2020
(Unaudited)
INDUSTRY BREAKDOWN
AS OF JUNE 30, 2020*
See accompanying notes to
financial statements.
19
Syntax ETF Trust
Statements of Assets and
Liabilities
June 30, 2020
(Unaudited)
| Syntax Stratified LargeCap ETF | Syntax Stratified MidCap ETF | Syntax Stratified SmallCap ETF | |||
| ASSETS | |||||
Investments in securities of unaffiliated issuers | $33,014,353 | $2,632,158 | $12,492,660 | ||
Cash | 51,746 | 9,321 | 38,603 | ||
Receivable from investments sold | — | — | 29,319 | ||
Dividends receivable | 37,712 | 1,648 | 7,221 | ||
Total Assets | 33,103,811 | 2,643,127 | 12,567,803 | ||
| LIABILITIES | |||||
Payable for investments purchased | — | 2,016 | 22,090 | ||
Accrued Management fee | 8,241 | 656 | 3,125 | ||
Accrued Other fees | 355 | 30 | 56 | ||
Total Liabilities | 8,596 | 2,702 | 25,271 | ||
NET ASSETS | $33,095,215 | $2,640,425 | $12,542,532 | ||
| NET ASSETS CONSISTS OF: | |||||
Paid in Capital | 25,186,947 | 2,551,188 | 10,721,276 | ||
Distributable earnings | 7,908,268 | 89,237 | 1,821,256 | ||
NET ASSETS | $33,095,215 | $2,640,425 | $12,542,532 | ||
NET ASSET VALUE PER SHARE | $45.65 | $26.40 | $31.36 | ||
SHARES OUTSTANDING (unlimited number of shares authorized, no par value) | 725,000 | 100,000 | 400,000 | ||
COST OF INVESTMENTS | $32,048,226 | $2,461,829 | $12,074,029 |
See accompanying notes to financial
statements.
20
Syntax ETF Trust
Statements of Operations
| Syntax Stratified LargeCap ETF | Syntax Stratified MidCap ETF | Syntax Stratified SmallCap ETF | |||
| Six Months Ended 6/30/20 (Unaudited) | For the Period 1/16/20(a) to 6/30/20 (Unaudited) | For the Period 5/28/20(b) to 6/30/20 (Unaudited) | |||
| INVESTMENT INCOME | |||||
Dividend income (net of foreign taxes withheld of $0, $5 and $8, respectively) | $336,104 | $18,558 | $14,523 | ||
Total Investment Income | 336,104 | 18,558 | 14,523 | ||
| EXPENSES | |||||
Management fee | 62,852 | 5,133 | 5,131 | ||
Other fees | 684 | 56 | 56 | ||
Total Expenses | 63,536 | 5,189 | 5,187 | ||
Expense Waiver/Reimbursement | (20,951) | (1,711) | (1,711) | ||
Net Expenses | 42,585 | 3,478 | 3,476 | ||
NET INVESTMENT INCOME (LOSS) | 293,519 | 15,080 | 11,047 | ||
| REALIZED AND UNREALIZED GAIN (LOSS) | |||||
Net realized gain (loss) from transactions in investment securities | (963,433) | (96,172) | 54,628 | ||
Net realized gain (loss) from in-kind redemptions of investments | 8,450,764 | — | 1,336,950 | ||
Net realized gain (loss) | 7,487,331 | (96,172) | 1,391,578 | ||
Net change in unrealized appreciation/depreciation on Investments | (9,189,915) | (278,483) | (883,300) | ||
NET REALIZED AND UNREALIZED GAIN (LOSS) | (1,702,584) | (374,655) | 508,278 | ||
NET INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS | $(1,409,065) | $(359,575) | $519,325 |
| (a) | Fund commenced operations on January 16, 2020. |
| (b) | Fund commenced operations on May 28, 2020. |
See accompanying notes to financial
statements.
21
Syntax ETF Trust
Statements of Changes in
Net Assets
| Syntax Stratified LargeCap ETF | Syntax Stratified MidCap ETF | Syntax Stratified SmallCap ETF | |||||
| Six Months Ended 6/30/20 (Unaudited) | For the Period 1/2/19(a) to 12/31/19 | For the Period 1/16/20(b) to 6/30/20 (Unaudited) | For the Period 5/28/20(c) to 6/30/20 (Unaudited) | ||||
| INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS: | |||||||
Net investment income (loss) | $293,519 | $942,339 | $15,080 | $11,047 | |||
Net realized gain (loss) | 7,487,331 | (428,382) | (96,172) | 1,391,578 | |||
Net change in unrealized appreciation/depreciation | (9,189,915) | 12,145,204 | (278,483) | (883,300) | |||
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | (1,409,065) | 12,659,161 | (359,575) | 519,325 | |||
| DISTRIBUTIONS TO SHAREHOLDERS | |||||||
Distributions to Shareholders | — | (964,675) | — | — | |||
| INCREASE (DECREASE) IN NET ASSETS FROM SHARE TRANSACTIONS: | |||||||
Proceeds from Shares Sold | 11,450,376 | 56,595,018 | 3,000,000 | 14,336,434 | |||
Cost of Shares Redeemed | (39,095,028) | (6,240,572) | — | (2,313,227) | |||
INCREASE (DECREASE) IN NET ASSETS FROM SHARE TRANSACTIONS: | (27,644,652) | 50,354,446 | 3,000,000 | 12,023,207 | |||
NET INCREASE (DECREASE) IN NET ASSETS DURING THE PERIOD | (29,053,717) | 62,048,932 | 2,640,425 | 12,542,532 | |||
NET ASSETS AT BEGINNING OF PERIOD | 62,148,932 | 100,000 | — | — | |||
NET ASSETS AT END OF PERIOD | $33,095,215 | $62,148,932 | $2,640,425 | $12,542,532 | |||
| SHARE TRANSACTIONS: | |||||||
Shares sold | 275,000 | 1,372,500 | 100,000 | 475,000 | |||
Shares redeemed | (775,000) | (150,000) | — | (75,000) | |||
NET INCREASE (DECREASE) | (500,000) | 1,222,500 | 100,000 | 400,000 | |||
| (a) | Fund commenced operations on January 2, 2019. |
| (b) | Fund commenced operations on January 16, 2020. |
| (c) | Fund commenced operations on May 28, 2020. |
See accompanying notes to financial
statements.
22
Syntax ETF Trust
Financial Highlights
Selected data for a share
outstanding throughout each period
| Syntax Stratified LargeCap ETF | |||
| Six Months Ended 6/30/20 (Unaudited) | For the Period 1/2/19(a) to 12/31/19 | ||
Net asset value, beginning of period | $50.73 | $40.00 | |
| Income (loss) from investment operations: | |||
Net investment income (loss)(b) | 0.47 | 0.84 | |
Net realized and unrealized gain (loss) | (5.55) | 10.68 | |
Total from investment operations | (5.08) | 11.52 | |
| Less Distributions from: | |||
Net investment income | 0.00 | (0.79) | |
Net asset value, end of period | $45.65 | $50.73 | |
Total return(c) | (10.02)%(d) | 28.81%(d) | |
| Ratios and Supplemental Data: | |||
Net assets, end of period (000s) | $33,095 | $62,149 | |
| Ratios to average net assets: | |||
Total expenses | 0.45%(e) | 0.80%(e) | |
Net expenses(f) | 0.30%(e) | 0.30%(e) | |
Net investment income (loss)(f) | 2.10%(e) | 1.80%(e) | |
Portfolio turnover rate(g) | 18%(d) | 34%(d) | |
| (a) | Fund commenced operations on January 2, 2019. |
| (b) | Per Share numbers have been calculated using the average shares method. |
| (c) | Total return is calculated assuming a purchase of Shares at net asset value per Share on the first day and a sale at net asset value per Share on the last day of each period reported. Distributions are assumed, for the purposes of this calculation, to be reinvested at the net asset value per Share on the respective payment dates of the Fund. Total return for a period of less than one year is not annualized. Broker commission charges are not included in this calculation. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Net of expenses waived/reimbursed by the Advisor. |
| (g) | Portfolio turnover rate excludes securities received or delivered from in-kind processing of creations or redemptions of Shares. |
See accompanying
notes to financial statements.
23
Syntax ETF Trust
Financial Highlights
Selected data for a share
outstanding throughout each period
| Syntax Stratified MidCap ETF | |
| For the Period 1/16/20(a) to 6/30/20 (Unaudited) | |
Net asset value, beginning of period | $30.00 |
| Income (loss) from investment operations: | |
Net investment income (loss)(b) | 0.15 |
Net realized and unrealized gain (loss) | (3.75) |
Total from investment operations | (3.60) |
Net asset value, end of period | $26.40 |
Total return(c) | (11.99)%(d) |
| Ratios and Supplemental Data: | |
Net assets, end of period (000s) | $2,640 |
| Ratios to average net assets: | |
Total expenses | 0.45%(e) |
Net expenses(f) | 0.30%(e) |
Net investment income (loss)(f) | 1.32%(e) |
Portfolio turnover rate(g) | 28%(d) |
| (a) | Fund commenced operations on January 16, 2020. |
| (b) | Per Share numbers have been calculated using the average shares method. |
| (c) | Total return is calculated assuming a purchase of Shares at net asset value per Share on the first day and a sale at net asset value per Share on the last day of each period reported. Distributions are assumed, for the purposes of this calculation, to be reinvested at the net asset value per Share on the respective payment dates of the Fund. Total return for a period of less than one year is not annualized. Broker commission charges are not included in this calculation. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Net of expenses waived/reimbursed by the Advisor. |
| (g) | Portfolio turnover rate excludes securities received or delivered from in-kind processing of creations or redemptions of Shares. |
See accompanying
notes to financial statements.
24
Syntax ETF Trust
Financial Highlights
Selected data for a share
outstanding throughout each period
| Syntax Stratified SmallCap ETF | |
| For the Period 5/28/20(a) to 6/30/20 (Unaudited) | |
Net asset value, beginning of period | $30.00 |
| Income (loss) from investment operations: | |
Net investment income (loss)(b) | 0.03 |
Net realized and unrealized gain (loss) | 1.33 |
Total from investment operations | 1.36 |
Net asset value, end of period | $31.36 |
Total return(c) | 4.52%(d) |
| Ratios and Supplemental Data: | |
Net assets, end of period (000s) | $12,543 |
| Ratios to average net assets: | |
Total expenses | 0.45%(e) |
Net expenses(f) | 0.30%(e) |
Net investment income (loss)(f) | 0.97%(e) |
Portfolio turnover rate(g) | 12%(d) |
| (a) | Fund commenced operations on May 28, 2020. |
| (b) | Per Share numbers have been calculated using the average shares method. |
| (c) | Total return is calculated assuming a purchase of Shares at net asset value per Share on the first day and a sale at net asset value per Share on the last day of each period reported. Distributions are assumed, for the purposes of this calculation, to be reinvested at the net asset value per Share on the respective payment dates of the Fund. Total return for a period of less than one year is not annualized. Broker commission charges are not included in this calculation. Past performance is no guarantee of future results. Performance results do not reflect the deduction of taxes that a shareholder would pay on fund distributions or on the redemption or sale of fund shares. |
| (d) | Not annualized. |
| (e) | Annualized. |
| (f) | Net of expenses waived/reimbursed by the Advisor. |
| (g) | Portfolio turnover rate excludes securities received or delivered from in-kind processing of creations or redemptions of Shares. |
See accompanying notes to financial
statements.
25
Syntax ETF Trust
Notes to Financial
Statements
June 30, 2020
(Unaudited)
Note 1—Organization
Syntax ETF Trust (the
“Trust”), was organized under the laws of the State of Delaware as a statutory trust on June 27, 2013 pursuant to an Agreement and Declaration of Trust (the “Trust Deed”). Syntax Stratified
LargeCap ETF, Syntax Stratified MidCap ETF, and Syntax Stratified SmallCap ETF (each a “Fund”, and collectively, the "Funds"), are each a series of the Trust.
Each Fund is
registered under the U.S. Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end, diversified management investment company. The Funds have no fixed termination date and will continue
unless the Fund is otherwise terminated under the terms of the Trust or unless and until required by law. Syntax Advisors, LLC (the “Advisor” or “Syntax Advisors”), a New York limited liability
company, serves as the Funds’ investment adviser.
Investment Objectives:
The Funds seek to
provide investment results that, before expenses, correspond generally to the total return performance of publicly traded equity securities of companies comprising the respective index listed below (each, an
“Underlying Index”):
| Fund | Underlying Index | |
Syntax Stratified LargeCap ETF | Syntax Stratified LargeCap Index | |
Syntax Stratified MidCap ETF | Syntax Stratified MidCap Index | |
Syntax Stratified SmallCap ETF | Syntax Stratified SmallCap Index |
Each Fund’s
investment objective is to provide long-term total investment returns (capital gains plus income). To achieve the investment objective for Syntax Stratified LargeCap ETF, Syntax Stratified MidCap ETF and Syntax
Stratified SmallCap ETF, the Advisor will seek to track the performance of each Underlying Index, which are stratified-weight versions of the widely used S&P 500® Index, S&P MidCap 400® Index and
S&P SmallCap 600® Index, respectively. In addition, the Funds may invest in cash and cash equivalents or money market instruments, such as repurchase agreements and money market funds.
Refer to the
Additional Strategies Information section of each Fund’s prospectus for more information on the methodology of the Syntax Indices.
Note 2—Significant Accounting Policies
Each Fund is an
investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification
(“ASC”) Topic 946 Financial Services – Investment Companies. The accompanying financial statements of the Funds are prepared in accordance with accounting principles generally accepted in the United
States (“GAAP”) and in accordance with ASC as set forth by the FASB. Each Fund maintains its financial records in U.S. dollars and follows the accrual basis of accounting.
In preparing the
Funds’ financial statements in accordance with GAAP, estimates or assumptions (which could differ from actual results) may be used that affect reported amounts and disclosures.
The following is a
summary of significant accounting policies followed by the Funds.
Tax Free Exchange
Syntax Stratified
LargeCap ETF acquired the assets of the Syntax 500 Series of Syntax Index Series LP on January 2, 2019, Syntax Stratified MidCap ETF acquired the assets of the Syntax 400 Series of Syntax Index Series LP on January
16, 2020 and Syntax Stratified SmallCap ETF acquired the assets of the following Series of Syntax Index LP on May 28, 2020 (the “Transactions”):
26
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 2—Significant Accounting Policies–(continued)
| • | Financial Products and Services Series |
| • | Energy Products and Services Series |
| • | Industrial Products and Services Series |
| • | Information Tools Series |
| • | Information Products and Services Series |
| • | Consumer Products and Services Series |
| • | Food Products and Services Series |
| • | Healthcare Products Series |
The Syntax 500
Series, the Syntax 400 Series and the 8 Sector Series of the Syntax Index LP (each a “Series”) were unregistered funds managed by the Advisor. The Transactions were structured as tax-free exchanges of
shares. Accordingly, the Funds elected to carry forward the historical cost basis of investments and cumulative unrealized gains and losses as reported by the respective Series prior to the transactions (the
“Election”). Investment companies carry substantially all their assets at fair market value for periodic and ongoing reporting. The primary use of historical cost basis is to determine both realized and
unrealized gains and losses.
The Funds’
decisions to make the Election was therefore designed to more closely align subsequent reporting of realized gains or losses with actual tax-basis gains distributable to ETF shareholders. The Transaction resulted in
the following:
| Initial Market Value of Securities acquired by Fund | Cost Basis | Unrealized Gain (Loss) | |||
Syntax Stratified LargeCap ETF | $33,554,457 | $35,543,619 | $(1,989,162) | ||
Syntax Stratified MidCap ETF | 2,785,553 | 2,336,742 | 448,811 | ||
Syntax Stratified SmallCap ETF | 11,391,517 | 10,089,586 | 1,301,931 |
Investment Valuation
The following
methodologies are used to determine the market value or fair value of investments. Equity investments (including preferred stocks and registered investment companies that are exchange-traded funds) traded on a
recognized securities exchange for which market quotations are readily available are valued at the last sale price or official closing price, as applicable, on the primary market or exchange on which they trade.
Equity investments traded on a recognized exchange for which there were no sales on that day are valued at the last published sale price or at fair value.
Investments for which
valuations or market quotations are not readily available or are deemed unreliable are valued at fair value using methods determined in good faith by or at the direction of the Trustees of the Fund in a manner that
fairly reflects the security’s value, or the amount that the Fund might reasonably expect to receive for the security upon its current sale in the ordinary course. Each such determination is based on a
consideration of relevant factors, which are likely to vary from one pricing context to another. These factors may include, but are not limited to, the type of security, the existence of any contractual restrictions
on the security’s disposition, the price and extent of public trading in similar securities of the issuer or of comparable companies or entities, quotations or relevant information obtained from broker/dealers
or other market participants, information obtained from the issuer, analysts, and/or the appropriate stock exchange (for exchange-traded securities), an analysis of the company’s or entity’s financial
condition, and an evaluation of the forces that influence the issuer and the market(s) in which the security is purchased and sold.
27
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 2—Significant Accounting Policies–(continued)
Under generally accepted accounting
principles for fair value measurements, a three-tier hierarchy to prioritize the assumptions, referred to as inputs, is used in valuation techniques to measure fair value. The three-tier hierarchy of inputs is
summarized in the three broad levels listed below.
The three levels of
the fair value hierarchy are as follows:
| • | Level 1 — Quoted prices in active markets for identical investments |
| • | Level 2 — Other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.) |
| • | Level 3 — Significant unobservable inputs (including a fund’s own assumptions in determining the fair value of investments) |
The following table
summarizes the value of each Fund’s investments according to the fair value hierarchy as of June 30, 2020.
Syntax Stratified
LargeCap ETF
| Description | Level 1— Quoted Prices | Level 2— Other Significant Observable Inputs | Level 3— Significant Unobservable Inputs | Total |
| ASSETS: | ||||
| INVESTMENTS: | ||||
Common Stock | $33,014,211 | $— | $— | $33,014,211 |
Rights | 142 | — | — | 142 |
Syntax Stratified
MidCap ETF
| Description | Level 1— Quoted Prices | Level 2— Other Significant Observable Inputs | Level 3— Significant Unobservable Inputs | Total |
| ASSETS: | ||||
| INVESTMENTS: | ||||
Common Stock | $2,632,158 | $— | $— | $2,632,158 |
Syntax Stratified
SmallCap ETF
| Description | Level 1— Quoted Prices | Level 2— Other Significant Observable Inputs | Level 3— Significant Unobservable Inputs | Total |
| ASSETS: | ||||
| INVESTMENTS: | ||||
Common Stock | $12,492,634 | $— | $— | $12,492,634 |
Preferred Stocks | 26 | — | — | 26 |
Distributions: The
Funds declare and distribute dividends from net investment income to its holders of Shares ("Shareholders"), if any, annually. Capital gain distributions, if any, are generally declared and paid annually. Additional
distributions may be paid by the Funds to avoid imposition of federal income and excise tax on any remaining undistributed net investment income and capital gains. The amount and character of income and gains to be
distributed
28
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 2—Significant Accounting Policies–(continued)
are determined in accordance with
federal tax regulations which may differ from net investment income and realized gains recognized for U.S. GAAP purposes.
Cash: Cash consists
of cash held at the Funds’ custodian, State Street Bank and Trust Company.
Investment
Transactions and Investment Income: Investment transactions for financial statement purposes are accounted for on a trade date basis. Realized gains and losses on investments sold are determined on the basis of
identified cost. Dividend income, if any, is recorded on the ex-dividend date or, in the case of foreign securities, as soon as the Funds are informed of the ex-dividend dates, net of foreign taxes. Interest income,
including accretion of discounts and amortization of premiums, is recorded on the accrual basis commencing on the settlement date.
Non-cash dividends
received in the form of stock, if any, are recorded as dividend income at fair value. Distributions received by the Funds may include a return of capital that is estimated by the Advisor. Such amounts are recorded as
a reduction of the cost of investments or reclassified to capital gains. The Funds may invest in real estate investment trusts (“REITs”) if they are part of the index. REITs determine the characterization
of their income annually and may characterize a portion of their distributions as a return of capital or capital gain. The Funds' policy is to record all REIT distributions as dividend income initially and
re-designate the prior calendar year’s return of capital or capital gain distributions at year end.
Organizational and
Offering costs: Syntax Advisors has agreed to pay all of the Funds’ organizational and offering costs. The organizational and offering costs are not subject to repayment to Syntax Advisors by the Funds.
Federal Income Taxes:
For U.S. federal income tax purposes, each Fund intends to qualify as a “regulated investment company” under Sub-chapter M of the Internal Revenue Code of 1986, as amended (a “RIC”), and
intends to continue to qualify as a RIC. As a RIC, each Fund will generally not be subject to U.S. federal income tax for any taxable year on income, including net capital gains, that it distributes to its
Shareholders, provided that it distributes on a timely basis at least 90% of its “investment company taxable income” determined prior to the deduction for dividends paid by the Funds (generally, its
taxable income other than net capital gain) for such taxable year. In addition, provided that the Funds distributes substantially all of its ordinary income and capital gains during each calendar year, the Funds will
not be subject to U.S. federal excise tax. Income and capital gain distributions are determined in accordance with tax regulations which may differ from U.S. GAAP. These book-tax differences are primarily due to
differing treatments for in-kind transactions, REITs and losses deferred due to wash sales. In addition, Syntax Stratified LargeCap ETF claimed a portion of the payments made to redeeming shareholders as a
distribution for income tax purposes.
U.S. GAAP requires
the evaluation of tax positions taken in the course of preparing the Funds’ tax returns to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax
authority. For U.S. GAAP purposes, the Funds recognize the tax benefits of uncertain tax positions only when the position is more likely than not to be sustained, assuming examination by tax authorities.
Each Fund has
reviewed its tax positions and has determined that no provision for income tax is required in the Fund’s financial statements. Generally, the Funds' tax returns for the prior three fiscal years remain subject to
examinations by the Funds’ major tax jurisdictions, which include the United States of America, and the State of New York. The Funds recognize interest and penalties, if any, related to tax liabilities as income
tax expense in the Statements of Operations. There were no such expenses for the period ended June 30, 2020.
No income tax returns
are currently under examination. The Advisor has analyzed the relevant tax laws and regulations and their application to the Funds’ facts and circumstances and does not believe there are any uncertain tax
positions that require recognition of any tax liabilities. Any potential tax liability is also subject to ongoing interpretation of laws by taxing authorities. The tax treatment of the Fund’s investments may
change over time based on factors including, but not limited to, new tax laws, regulations and interpretations thereof.
29
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 2—Significant Accounting Policies–(continued)
At June 30, 2020, gross unrealized
appreciation and gross unrealized depreciation of investment based on cost for federal income tax purposes were as follows:
| Tax Cost | Gross Unrealized Appreciation | Gross Unrealized Depreciation | Net Unrealized Appreciation (Depreciation) | ||||
Syntax Stratified LargeCap ETF | $32,048,226 | $3,199,159 | $(2,233,032) | $966,127 | |||
Syntax Stratified MidCap ETF | 2,461,829 | 390,087 | (219,758) | 170,329 | |||
Syntax Stratified SmallCap ETF | 12,074,029 | 676,941 | (258,310) | 418,631 |
Note 3—Investment Transactions
Purchases and sales
of investments (excluding in-kind transactions and short term investments) for the periods ended June 30, 2020, were as follows:
| Purchases | Sales | ||
Syntax Stratified LargeCap ETF | $5,929,065 | $5,612,144 | |
Syntax Stratified MidCap ETF | 927,774 | 706,514 | |
Syntax Stratified SmallCap ETF | 2,056,262 | 1,465,583 |
For the periods ended
June 30, 2020, the following Funds had in-kind contributions, redemptions and net realized gains (losses) in the amounts as follows:
| In-kind Contributions | In-kind Redemptions | In-kind Net Realized Gains (Losses) | |||
Syntax Stratified LargeCap ETF | $11,400,262 | $38,949,220 | $8,450,764 | ||
Syntax Stratified MidCap ETF | 2,336,742 | — | — | ||
Syntax Stratified SmallCap ETF | 12,424,769 | 2,327,172 | 1,336,950 |
Note 4—Capital Share Transactions
Each Fund will issue
or redeem capital shares to certain institutional investors (typically market makers or other broker dealers) on a continuous basis through the Distributor in large blocks of 25,000 capital shares (“Creation
Units”). Creation Unit transactions are typically conducted in exchange for the deposit or delivery of a designated portfolio of in-kind securities and/or cash constituting a substantial replication, or a
representation, of the securities included in the Underlying Index.
Note 5—Fund Fees and Expenses
Investment Management
Fees: Each Fund pays the Advisor monthly, in arrears, a unitary management fee based on a percentage of the Fund’s average daily net assets that is subject to an Expense Limitation Agreement. The management fee
rate for each fund is as follows:
| Annual Rate | |
Syntax Stratified LargeCap ETF | 0.45% |
Syntax Stratified MidCap ETF | 0.45% |
Syntax Stratified SmallCap ETF | 0.45% |
The Advisor provides
investment advisory, supervisory and administration services under an investment management agreement. The Advisor has agreed to waive its fees and/or absorb expenses of the Funds to ensure that Total Annual Operating
Expenses (excluding any (i) interest expense, (ii) taxes, (iii) acquired fund fees and expenses, (iv) brokerage expenses and other expenses (such as stamp taxes) connected with the execution of portfolio transactions
or in
30
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 5—Fund Fees and Expenses–(continued)
connection with creation and
redemption transactions, (v) expenses associated with shareholder meetings, (vi) compensation and expenses of the Independent Trustees, (vii) compensation and expenses of the Trust’s chief compliance officer and
his or her staff, (viii) distribution fees and expenses paid by the Trust under any distribution plan adopted pursuant to Rule 12b-1 under the 1940 Act, (ix) legal fees or expenses in connection with any arbitration,
litigation or pending or threatened arbitration or litigation, including any settlements in connection therewith, and (x) extraordinary expenses of the Fund) ("Excluded Expenses") do not exceed the following expense
limitations:
| Expense Limit | |
Syntax Stratified LargeCap ETF | 0.30% |
Syntax Stratified MidCap ETF | 0.30% |
Syntax Stratified SmallCap ETF | 0.30% |
In addition, the
Adviser has agreed to waive its fees and/or absorb Excluded Expenses of each Fund to ensure that Total Annual Operating Expenses do not exceed 0.30%.
These arrangements
cannot be terminated prior to one year from the effective date of the prospectus without the approval of the Board of Trustees. In connection with this arrangement, the Advisor has waived and reimbursed the following
amounts in expenses for the periods ended June 30, 2020 as noted below.
| Expenses Waived and Reimbursed | |
Syntax Stratified LargeCap ETF | $20,951 |
Syntax Stratified MidCap ETF | 1,711 |
Syntax Stratified SmallCap ETF | 1,711 |
Subject to approval
by the Funds’ Board of Trustees, any waiver and/or reimbursement under the Expense Limitation Agreement is subject to repayment by the Fund within 36 months following the day on which fees are waived or
reimbursed, if the Fund is able to make the payment without exceeding the applicable expense limitation. At June 30, 2020, the waivers and reimbursements subject to repayment is as follows:
| Amount | |
Syntax Stratified LargeCap ETF | $283,272 |
Syntax Stratified MidCap ETF | 1,711 |
Syntax Stratified SmallCap ETF | 1,711 |
Distributor,
Distribution and Service Fees: Foreside Fund Services, LLC (“Distributor”) is the Distributor of Fund shares. The Distributor will not distribute Fund shares in less than Creation Units and does not
maintain a secondary market in Fund shares. The Distributor may enter into selected dealer agreements with other broker-dealers or other qualified financial institutions for the sale of Creation Units of Fund
shares.
Each Fund has a
distribution and service plan (“Distribution Plan”) pursuant to Rule 12b-1 under the 1940 Act, to which payments at an annual rate of up to 0.25% of the Fund’s average daily net assets may be made
for the sale and distribution of its Fund shares. No payments pursuant to the Distribution Plan will be made through at least the next twelve (12) months of operations. Additionally, the implementation of any such
payments would be approved by the Board prior to implementation.
Vantage Consulting
Group, Inc. (“Vantage” or the “Sub-Adviser”) serves as the sub-adviser to the Funds and performs the day to day management of the Funds and places orders for the purchase and sale of securities
for the Funds. For its services to the Funds, the Sub-Adviser is compensated by Syntax Advisors.
31
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 6—Indemnifications
In the normal course
of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The Funds’ maximum exposure under these arrangements is unknown, as
this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience and knowledge of management, the Funds expect the risk of loss to be remote.
Note 7—Related Party Transactions
There are no related
party transactions during the period except as previously disclosed.
Note 8—Market Risk
In the normal course
of business, the Funds invest in securities and enters into transactions where risks exist due to fluctuations in the market (market risk). Due to the level of risk associated with certain investments, it is at least
reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect the amounts reported in the financial statements.
An investment in the
Funds involves risks similar to those of investing in any fund of equity securities, such as market fluctuations caused by such factors as economic and political developments, changes in interest rates and perceived
trends in stock prices. The value of a Share will increase or decline, more or less, in correlation with any increase or decline in value of the holdings of the Underlying Index. The values of equity securities could
increase or decline generally or could over or under perform other investments.
Other Risks
Index Risk: Unlike
many investment companies, Syntax Stratified LargeCap ETF, Syntax Stratified MidCap ETF and Syntax Stratified SmallCap ETF do not utilize an investing strategy that seeks returns in excess of its Underlying Index.
Therefore, the Funds would not necessarily buy or sell a security unless that security is added or removed, respectively, from its Underlying Index, even if that security generally is underperforming.
Equity Risk: Equity
risk is the risk that the value of the securities that the Funds hold will fall due to general market and economic conditions, perceptions regarding the industries in which the issuers of securities the Fund holds
participate or factors relating to specific companies in which the Funds invest. For example, an adverse event, such as an unfavorable earnings report, may depress the value of securities the Funds hold; the price of
securities may be particularly sensitive to general movements in the stock market; or a drop in the stock market may depress the price of most or all of the securities the Funds hold. In addition, securities of an
issuer in the Funds’ portfolio may decline in price if the issuer fails to make anticipated dividend payments because, among other reasons, the issuer of the security experiences a decline in its financial
condition.
Non-Correlation Risk:
Each Fund’s return may not match the return of its Underlying Index for a number of reasons. For example, the Fund incurs operating expenses not applicable to its Underlying Index, and incurs costs in buying and
selling securities, especially when rebalancing the Fund’s securities holdings to reflect changes in the composition of its Underlying Index. In addition, the performance of the Fund and its Underlying Index may
vary due to asset valuation differences and differences between the Fund’s portfolio and its Underlying Index resulting from legal restrictions, cost or liquidity constraints.
Pandemic Risk: The
onset of an infectious respiratory disease called COVID-19, caused by a novel coronavirus known as SARS-CoV-2, was first identified in China in December 2019 and now has been detected globally. Among other things,
COVID-19 has led to travel restrictions, closed international borders, disruption of and delays in healthcare service preparation and delivery, prolonged quarantines, cancellations, supply chain disruptions,
shuttering of offices, universities, schools, cultural institutions and sporting events, and lower consumer demand, as well as general anxiety and uncertainty. The impact of COVID-19, and other infectious disease
outbreaks that may arise in the future, could
32
Syntax ETF Trust
Notes to Financial
Statements (continued)
June 30, 2020
(Unaudited)
Note 8—Market Risk–(continued)
adversely affect the economies of
many nations or the entire global economy, individual issuers and capital markets in ways that cannot necessarily be foreseen. In addition, the impact of infectious diseases in emerging market countries may be greater
due to generally less established healthcare systems. Public health crises caused by the COVID-19 spread may aggravate other pre-existing political, social and economic risks in certain countries or globally. The
duration of the COVID-19 outbreak and its effects cannot be determined with certainty.
Note 9—Subsequent Events
Management has
evaluated the impact of all subsequent events on the Funds through the date on which the financial statements were issued and has determined that there were no subsequent events requiring adjustment or disclosure in
the financial statements.
33
Syntax ETF Trust
Other Information
June 30, 2020
(Unaudited)
Expense Example
As a shareholder of
the Fund, you incur two types of costs: (1) transaction costs, including brokerage commissions on purchases and sales of Fund shares and (2) ongoing costs, including advisory fees and to the extent applicable,
distribution (12b-1) and/or service fees; and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing
costs of investing in other mutual funds. It is based on an investment of $1,000 made at the beginning of the period shown and held for the entire period from January 1, 2020 to June 30, 2020.
The table below
illustrates your Fund’s cost in two ways:
Based on actual fund
return ——This section helps you to estimate the actual expenses that you paid over the period. The “Ending Account Value” shown is derived from each Fund’s actual
return, and the third column shows the dollar amount that would have been paid by an investor who started with $1,000 in the Fund. You may use the information here, together with the amount you invested, to estimate
the expenses that you paid over the period. To do so, simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number given for the
Fund under the heading “Expenses Paid During Period”.
Based on hypothetical
5% return ——This section is intended to help you compare your Fund’s costs with those of other mutual funds. It assumes that the Funds had a yearly return of 5% before expenses,
but that the expense ratio is unchanged. In this case, because the return used is not the Fund’s actual return, the results do not apply to your investment. The example is useful in making comparisons because
the SEC requires all mutual funds to calculate expenses based on a 5% return. You can assess your Fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder
reports of other funds.
Please note that the
expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs, such as brokerage commissions on purchases and sales of Fund shares. Therefore, the hypothetical 5%
return section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transaction costs were included, your
costs would have been higher.
| Actual | Hypothetical (assuming a 5% return before expenses) | ||||||||
| Annualized Expense Ratio | Ending Account Value | Expenses Paid During Period(a) | Ending Account Value | Expenses Paid During Period(a) | |||||
Syntax Stratified LargeCap ETF | 0.30% | $899.80 | $1.42 | $1,023.40 | $1.51 | ||||
| (a) | Expenses are equal to the Fund's annualized net expense ratio multiplied by the average account value of the period, multiplied by 182 for the Fund and the Hypothetical numbers shown, then divided by 366. |
| Actual | Hypothetical (assuming a 5% return before expenses) | ||||||||
| Annualized Expense Ratio | Ending Account Value | Expenses Paid During Period(a) | Ending Account Value | Expenses Paid During Period(a) | |||||
Syntax Stratified MidCap ETF | 0.30% | $880.10 | $1.28 | $1,023.40 | $1.51 | ||||
| (a) | Expenses are equal to the Fund's annualized net expense ratio multiplied by the average account value of the period, multiplied by 166 and 182 for the Fund and the Hypothetical numbers shown, then divided by 366. |
34
Syntax ETF Trust
Other
Information (continued)
June 30, 2020
(Unaudited)
| Actual | Hypothetical (assuming a 5% return before expenses) | ||||||||
| Annualized Expense Ratio | Ending Account Value | Expenses Paid During Period(a) | Ending Account Value | Expenses Paid During Period(a) | |||||
Syntax Stratified SmallCap ETF | 0.30% | $1,045.20 | $0.28 | $1,023.40 | $1.51 | ||||
| (a) | Expenses are equal to the Fund's annualized net expense ratio multiplied by the average account value of the period, multiplied by 33 and 182 for the Fund and the Hypothetical numbers shown, then divided by 366. |
35
Syntax ETF Trust
Other
Information (continued)
June 30, 2020
(Unaudited)
Liquidity Risk
Management Program
Each Fund has
implemented a written liquidity risk management program (Program) and related procedures to manage its liquidity in accordance with Rule 22e-4 under the Investment Company Act of 1940, as amended (Liquidity Rule). The
Liquidity Rule defines “liquidity risk” as the risk that a fund could not meet requests to redeem shares issued by the fund without significant dilution of the remaining investors’ interests in the
fund. The Funds’ Board of Trustees has designated the investment adviser to serve as the administrator of the Program and the related procedures. As part of the Program, the administrator reviews each
Fund’s investment strategy and the liquidity of its investments, short-term and long-term cash flow projections, and the relationship between the Fund’s portfolio liquidity and its arbitrage mechanism and
its efficiency including the prices and spreads at which a Fund’s shares trade. Under the Program, the administrator assesses, manages, and periodically reviews each Funds’ liquidity risk, and is
responsible for making certain reports to the Funds’ Board of Trustees and the Securities and Exchange Commission (SEC) regarding the liquidity of each Funds’ investments, and to notify the Board of
Trustees and the SEC of certain liquidity events specified in the Liquidity Rule. The liquidity of the Funds’ portfolio investments is determined based on a number of factors including, but not limited to,
relevant market, trading and investment-specific considerations under the Program.
At a meeting of the
Funds’ Board of Trustees, the administrator provided a written report to the Funds’ Board of Trustees pertaining to the operation, adequacy, and effectiveness of implementation of the Program for the
period June 1, 2019 through May 31, 2020 (Review Period). The Program operated effectively during the Review Period, supporting the administrator’s ability to assess, manage and monitor each Funds’
liquidity risk.
There can be no
assurance that the Program will achieve its objectives in the future. Please refer to each Funds’ prospectus for more information regarding the Funds’ exposure to liquidity risk and other principal risks
to which an investment in the Funds may be subject.
Premium/Discount
Information
Information regarding
how often the Shares of each Fund traded on the exchange at a price above (i.e., at a premium) or below (i.e., at a discount) the NAV of the Fund during the past calendar year can be found at
www.syntaxadvisors.com.
Proxy Voting Policies
and Procedures and Records
A description of the
Funds' proxy voting policies and procedures that are used by the Funds' investment adviser to vote proxies relating to the Funds' portfolio of securities are available (i) without charge, upon request by calling
1-866-972-4492 (toll free) or (ii) on the SEC’s website at www.sec.gov. Information regarding how the investment adviser voted for the 12-month period ended June 30, is available by August 31 of each year by
calling the same number, on the SEC’s website at www.sec.gov, and on the Funds' website at www.syntaxadvisors.com.
Quarterly Portfolio
Schedule
Following the Funds'
first and third fiscal quarter-ends, a complete schedule of investments is filed with the SEC as an exhibit on Form N-PORT, which can be found on the SEC’s website at www.sec.gov. The Funds' schedules of
investments are available upon request, without charge, by calling 1-866-972-4492 (toll free) and on the Funds’ website at www.syntaxadvisors.com.
Other information
regarding the Funds is available on the Funds’ website at www.syntaxadvisors.com as well as on the website of the Securities and Exchange Commission at www.sec.gov.
36
Syntax ETF Trust
(Unaudited)
Fund Advisor
Syntax Advisors,
LLC
One Liberty Plaza 46th FI.
New York, NY 10006
One Liberty Plaza 46th FI.
New York, NY 10006
Administrator, Custodian and Transfer Agent
State Street Bank and
Trust Company
One Lincoln Street
Boston, MA 02111
One Lincoln Street
Boston, MA 02111
Distributor
Foreside Fund
Services, LLC
Three Canal Plaza, Suite 100
Portland, ME 04101
Three Canal Plaza, Suite 100
Portland, ME 04101
Independent Registered Public Accounting Firm
Ernst & Young
LLP
200 Clarendon Street
Boston, MA 02116
200 Clarendon Street
Boston, MA 02116
| Item 2: | Code of Ethics. |
Not applicable for semi-annual reports
| Item 3: | Audit Committee Financial Experts. |
Not applicable for semi-annual reports.
| Item 4: | Principal Accountant Fees and Services. |
Not applicable for semi-annual reports.
| Item 5: | Audit Committee of Listed Registrants. |
Not applicable for semi-annual reports.
| Item 6: | Schedule of Investments. |
| (a) | The schedules of investments are included in the Semi-Annual Report to shareholders filed under Item 1 of this Form N-CSR. |
| (b) | Not applicable. |
| Item 7: | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies. |
Not applicable.
| Item 8: | Portfolio Managers of Closed-End Management Investment Companies. |
Not applicable.
| Item 9: | Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers. |
Not Applicable
| Item 10: | Submission of Matters to a Vote of Security Holders. |
There have been no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Trustees that have been implemented since the Registrant last provided disclosure in response to the requirements of this Item.
| Item 11: | Controls and Procedures. |
| (a) | The Registrant’s principal executive officer and principal financial officer evaluated the Registrant’s disclosure controls and procedures within 90 days of this filing and have concluded that the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) |
under the Investment Company Act of 1940, as amended (the “1940 Act”)) are appropriately designed to ensure that information required to be disclosed by the Registrant in the reports that it files on Form N-CSR (a) is accumulated and communicated to Registrant's management, including its principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure, and (b) is recorded, processed, summarized and reported, within the time periods specified in the rules and forms adopted by the U.S. Securities and Exchange Commission.
| (b) | The Registrant’s principal executive officer and principal financial officer are aware of no change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal half-year that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting. |
| Item 12: | Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. |
Not Applicable
| Item 13: | Exhibits. |
| (a)(1) | Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit. Not applicable. |
| (a)(2) | Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. Separate certifications for Registrant's principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the 1940 Act, are attached. |
| (a)(3) | Any written solicitation to purchase securities under Rule 23c 1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons. Not applicable. |
| (a)(4) | Change in the registrant’s independent public accountant. Not applicable. |
| (b) | Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. A certification for Registrant's principal executive officer and principal financial officer, as required by Rule 30a-2(b) under the 1940 Act, is attached. The certification furnished pursuant to this paragraph is not deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to liability of that section. Such certification is not deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent that the Registrant specifically incorporates it by reference. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Syntax ETF Trust | ||
| (Registrant) | ||
| By: | /s/ Rory Riggs | |
| Rory Riggs | ||
| CEO | ||
| (Principal Executive Officer) | ||
| Date: | September 4, 2020 | |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
| By: | /s/ Rory Riggs | ||
| Rory Riggs | |||
| CEO | |||
| (Principal Executive Officer) | |||
| Date: | September 4, 2020 | ||
| By: | /s/ David Jaffin | ||
| David Jaffin | |||
| Treasurer | |||
| (Principal Financial Officer) | |||
| Date: | September 4, 2020 |
EXHIBIT INDEX