Pacer American Energy Independence ETF

Pacer American Energy Independence ETF (USAI) is an index fund that tracks the American Energy Infrastructure Index. The index holds US and Canadian pipeline, storage and liquefied natural gas (LNG) companies, with about 20% set aside for master limited partnerships. The fund pays monthly and had a 4.1% trailing yield as of October 27, 2026. Its 0.75% expense ratio is close to the 0.78% peer average but more than double ENFR's 0.35%.

• Over the year to Oct 27, 2026, USAI returned +31.4%, 6th of 9 among similar funds.
• Its 5-year annualized return was +18.4%.
• Its worst full calendar year was 2025 (+0.7%); its best was 2024 (+44.0%).
• The deepest fall in its price history was 20.7% (Jun 7, 2022 to Sep 26, 2022), recovered by Nov 30, 2023.

As of Jul 31, 2026, the fund held 34 securities; the ten largest made up 61.33% of assets, and 2.67% sat in cash and money-market holdings.

• Over the three months to Jul 31, 2026, investors added a net $26.0M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -5.18%, +1.76%, +2.90%.

USAI is passively managed. It tries to own all, or nearly all, of the stocks in the American Energy Infrastructure Index. SL Advisors built the index and is not affiliated with Pacer. To qualify, a company must be listed in the US or Canada and have a market value of at least $500 million. It must also earn most of its cash flow from energy infrastructure, such as gathering and processing, pipelines, storage, terminals or LNG plants. The index leaves out refining, shipping, retail distribution and oil services.

At each rebalance, 80% of the index goes to companies taxed as corporations. The other 20% goes to US midstream master limited partnerships (MLPs), which are publicly traded partnerships that own assets like pipelines. MLPs that pay incentive distribution rights (extra payouts to the partnership's manager, the general partner) are left out. Within each group, companies are weighted by free-float market value, meaning the value of shares available to the public. No company can be more than 7.25%. Companies above 5% can't add up to more than 45% combined.

The index rebalances on the last trading day of each quarter, so weights can drift past the caps in between. As of July 31, 2026, the fund held 34 companies, and the top ten made up 61% of assets. Cheniere Energy (8.0%) led, followed by Energy Transfer (7.5%). About 22% was in Canadian companies, so currency moves affect returns. The fund held no derivatives.

• USAI charges 0.75% a year, versus an average of 0.78% for the similar funds below (6th of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $77 in the first year and $930 over 10 years (assuming a 5% annual return).

It is a concentrated bet on a single industry, North American energy infrastructure, and it has had sharp swings.

USAI could add monthly income, with a 4.1% trailing yield as of October 27, 2026. At times it has also moved apart from the broad market. From the market's peak to its low in the 2022 bear market, USAI gained 11.5%, and it returned 20.15% for calendar 2022. It came after the 2008 crisis, but it lost 51.58% in the first quarter of 2020. It also lost 17.27% in 2018 and 15.03% in 2020. In price data since June 2020, its deepest drop was 20.7%, and recovering took about 14 months. In a year like 2020, someone drawing income might have to cash in shares at low prices.

It costs 0.75% a year, or $930 over 10 years in the SEC's standard $10,000 example. Past results don't predict future ones. A plan should look at the whole portfolio, not one fund.

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