Global X Morningstar Capital Allocation Leaders ETF

Global X Morningstar Capital Allocation Leaders ETF (CPTL) is an index fund that tracks the Morningstar US Capital Allocation Leaders Index. The index holds about 155 large and mid-sized US companies that Morningstar rates “Exemplary” for how well their managers use cash. Big names such as Microsoft, Nvidia and Apple lead the fund, but no single stock can exceed 4.75%. Its 0.35% expense ratio is well above the 0.09% average of similar funds.

• Over the year to Jul 28, 2026, CPTL returned +17.0%, 1st of 9 among similar funds.
• Its 5-year annualized return was +9.5% and its 10-year +13.5%.
• In the 2020 COVID crash it fell 36.2% and regained its old high 4.8 months after the low.
• Its worst full calendar year was 2022 (-19.0%); its best was 2019 (+30.1%).
• The deepest fall in its price history was 36.2% (Feb 19, 2020 to Mar 23, 2020), recovered by Aug 17, 2020.

As of Aug 31, 2026, the fund held 154 securities; the ten largest made up 37.61% of assets.

By sector

• Over the three months to Aug 31, 2026, investors added a net $177.1M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +2.13%, +1.89%, -2.72%.

CPTL tracks an index built by Morningstar, Inc., which is independent of the fund's adviser, Global X Management Company LLC. The starting pool is the Morningstar US Target Market Exposure Index. That index covers large and mid-sized companies making up roughly the top 85% of the US stock market by float-adjusted value, meaning only shares that are available to trade are counted. Morningstar gives each company a Capital Allocation Rating. The rating is a forward-looking judgment of how well management uses cash, based on three pillars: balance sheet strength (debt, interest coverage, free cash flow), investment efficacy (returns on capital, margins, research spending) and shareholder distributions (dividends and buybacks). Only companies rated “Exemplary”, not “Standard” or “Poor”, make it into the index.

Holdings are weighted by float-adjusted market value. No company can exceed 4.75%, and companies above 4.5% can make up no more than 23% combined. The index changes its members twice a year, in June and December, and resets weights every quarter. It had 155 members as of June 30, 2026, and the fund's portfolio turnover was 18.2%.

The fund generally holds every index stock in about the same proportions. It does not try to beat the index or move into cash when markets fall. It may lend out securities worth up to one-third of its total assets. Its index and objective can be changed without a shareholder vote.

• CPTL charges 0.35% a year, versus an average of 0.09% for the similar funds below (9th of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $36 in the first year and $443 over 10 years (assuming a 5% annual return).

It holds about 154 large and mid-sized US stocks and moves roughly in line with the overall market, with a quality screen added on top.

CPTL may work as a broad US stock holding with a tilt toward companies with strong balance sheets, but it is still fully exposed to the stock market. It launched in 2016, so it has no record from 2008. In the 2020 COVID crash it fell 36.2% in about five weeks and was back to its old high by August 17, 2020. In the 2022 bear market it dropped 25.6% and needed about 16 months after its September 30, 2022 low to recover. Its worst calendar year was 2022, at -19.01%. Anyone drawing money from it in a year like that might have to cash out shares at low prices. It paid a trailing yield of 2.4% as of July 28, 2026, in two payments a year. Its 0.35% fee works out to $36 in the first year on $10,000 (the SEC's standard example). Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.