The US Treasury 5 Year Note ETF (NASDAQ: UFIV) experienced a modest increase of 0.2% on Wednesday, trading at $49.40. This uptick comes despite a significant decline in trading volume, with approximately 3,833 shares changing hands, down 73% from the average daily volume of 14,194 shares. The ETF had closed the previous day at $49.31, indicating a slight recovery in its market performance.
Trading and Dividend Details
The fund’s performance is reflected in its moving averages, with a 50-day simple moving average at $49.45 and a 200-day simple moving average at $49.23. Recently, the company also announced a monthly dividend, which was paid on December 3, 2023. Shareholders on record as of December 2 were issued a dividend of $0.1301 per share. This translates to an annualized yield of 3.2%. The ex-dividend date for this distribution was also December 2.
Investors are closely monitoring the ETF, especially after an institutional investor, Huntington National Bank, increased its stake in the fund by 30.3% during the second quarter. According to its latest Form 13F filing with the U.S. Securities and Exchange Commission (SEC), Huntington National Bank owned 2,467 shares of the ETF after acquiring an additional 573 shares during this period. The bank’s total investment in UFIV is valued at approximately $121,000.
Overview of the ETF
The US Treasury 5 Year Note ETF is designed to track the ICE BofA Current 5-Year US Treasury Index. As a passively managed fund, it invests exclusively in the most recently issued, on-the-run, 5-year US Treasury note. This structure makes it particularly appealing for investors looking to maintain a position aligned with the 5-year tenor on the yield curve. Launched on March 28, 2023, UFIV is managed by the US Benchmark Series, positioning it as a vital option for those seeking stability in their investment portfolios.
As market dynamics continue to evolve, the recent activity surrounding the US Treasury 5 Year Note ETF highlights investor interest and the importance of monitoring economic indicators closely.
