# What is a swap-based ETF?

> As of Aug 31, 2026, 58 income ETFs get their exposure through swaps rather than options on listed shares, out of 353 read. Updated every trading night.

Data as of Aug 31, 2026. Rebuilt every trading night.

## What is a swap-based ETF?

Data as of Aug 31, 2026. Rebuilt every trading night.

As of Aug 31, 2026, 58 income ETFs get their exposure through swaps rather than options on listed shares, out of 353 read.

### In plain words

A swap is a contract with a bank: the fund pays one return and receives another, such as a stock’s. It lets a fund copy a result without owning the stock outright, to build a synthetic covered call or reach a multiple of a daily move.

ETFIQ reads each N-PORT and counts 58 income ETFs where swaps are the main source of exposure. A swap adds a second risk: the bank on the other side. The fund usually holds collateral to cover it, and the swap shows as a line in its holdings with its size.

### Questions

Is a swap-based ETF risky? It adds the risk that the bank cannot pay. Funds keep collateral to cover that. The N-PORT shows the size of the swap.

Why use a swap? It can copy a result at lower cost or reach assets that are hard to own directly.

How can I see a fund’s swaps? On its holdings page, from the latest filing.

### Where to next

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Source: ETFIQ, independent ETF data. Recomputed nightly from public filings and prices.
Cite: ETFIQ, What is a swap-based ETF?, data as of Aug 31, 2026. https://etfiq.com/learn/what-is-a-swap-based-etf
Licence: https://etfiq.com/license/ Data ETFIQ computes is free to use with attribution: ETFIQ (etfiq.com). Issuer data stays under its owner's terms.
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