Yorkville America Targets More Compelling ETF Strategies, Transitions Product Development to the '40 Act

Rhea-AI Summary

Yorkville America, sponsor and adviser to the Truth Social Funds (DJT), has withdrawn its planned ETF registration statements under the '33 Act and will focus product development under the '40 Act framework.

This shift aims to deliver more differentiated, rules-based ETF strategies with enhanced investor protections, broader accessibility, and tax-efficient structures for “America First”–aligned investors.

News Market Reaction – DJT

+0.75%

+0.75% Session close to close

In the May 20 session, DJT gained 0.75%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement details Yorkville America’s decision to withdraw ’33 Act ETF registrations and con...

Analysis

This announcement details Yorkville America’s decision to withdraw ’33 Act ETF registrations and concentrate Truth Social Funds product development within the ’40 Act framework, emphasizing investor protections, broad distribution, and tax efficiency. In DJT’s recent history, the funds platform and a proposed acquisition adding about $32 million in ETF assets have been recurring themes. Investors may track how this regulatory alignment interacts with DJT’s merger plans, spin-off discussions, and previously reported large net losses and substantial financial assets.

Key Figures

Existing ETFs: 5 ETFs Regulatory history: over 80 years

2 metrics

Existing ETFs 5 ETFs Truth Social Funds suite of NYSE-listed, rules-based ETFs

Regulatory history over 80 years Length of time the ’40 Act framework has governed U.S. investment companies

Historical Context

5 past events · Latest: May 08 (Negative)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
May 08	Q1 2026 earnings	Negative	-1.1%	Reported large GAAP net loss despite positive operating cash flow and asset base.
Apr 21	CEO transition	Neutral	-1.0%	Named Kevin McGurn interim CEO to lead strategic initiatives and M&A efforts.
Feb 27	FY 2025 results	Neutral	+3.5%	Disclosed strong financial asset base, positive cash flow, but large net loss for 2025.
Feb 27	Spin-off talks	Neutral	-2.3%	Outlined potential spin-off of Truth Social into a new public company via merger.
Feb 19	ETF acquisition plan	Positive	+0.9%	Proposed acquisition of Point Bridge America First ETF adding about $32M to funds suite.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent DJT news has generally produced modest, directionally aligned price moves regardless of whether headlines were operational, financial, or strategic.

Recent Company History

Over the past six months, DJT’s news flow has centered on financial results, leadership changes, M&A, and product expansion. Earnings updates on Feb 27, 2026 and May 8, 2026 highlighted large net losses alongside positive operating cash flow and sizable financial assets. Strategic items included discussions about a Truth Social spin-off and a proposed acquisition of the Point Bridge America First ETF, potentially adding about $32 million in assets. Today’s announcement about shifting ETF development to the ’40 Act framework fits this broader push to build out the Truth Social Funds platform.

Key Terms

investment company act of 1940, ’33 act, ’40 act, etf, +3 more

7 terms

investment company act of 1940 regulatory

"strategies under the Investment Company Act of 1940 (''40 Act') represents the optimal path"

A U.S. federal law that sets the rulebook for pooled investment vehicles such as mutual funds, exchange-traded funds and similar money managers, requiring them to register with regulators, disclose holdings and fees, limit conflicts of interest, and follow governance standards. It matters to investors because these protections and transparency rules act like a referee and scoreboard, helping people compare funds, trust that managers follow fair practices, and spot hidden costs or risks.

’33 act regulatory

"withdrawal of the '33 Act filings is a proactive strategic decision."

A federal law that requires companies to provide clear, written information before selling stocks or other securities to the public, so buyers know what they are getting. Think of it as a rulebook that forces sellers to lay out their business model, finances and risks in paperwork investors can read and verify; that transparency helps people compare offerings, spot red flags and gives legal remedies if key facts are hidden or false.

’40 act regulatory

"the '40 Act framework provides a structure for delivering the differentiated, rules-based"

The '40 Act is a U.S. law that sets the rules for investment companies such as mutual funds and many ETFs, requiring regular disclosure, independent oversight, limits on borrowing and conflicts of interest, and protections for shareholder assets. For investors, it acts like a safety rulebook and transparent checklist: it helps ensure funds operate openly and responsibly, reducing the chance of abuse or hidden risks and making it easier to compare and trust pooled investment products.

etf financial

"registration statements filed under the Securities Act of 1933 (''33 Act') related to certain planned ETF strategies."

An ETF, or exchange-traded fund, is like a basket of different investments such as stocks or bonds that you can buy or sell easily on the stock market, just like a regular share. It allows people to invest in many companies at once, making it a simple way to grow savings without picking individual stocks.

View in glossary

fiduciary standards financial

"Enhanced Investor Protections – Independent board oversight, regular audits, and strict fiduciary standards"

Fiduciary standards are rules that require financial professionals who manage or advise on other people’s money to put their clients’ interests ahead of their own, avoid or disclose conflicts, and act with care and loyalty—like a trusted guardian responsible for someone else’s finances. Investors care because these standards reduce the risk that advisors choose investments to benefit themselves (through hidden fees or commissions) rather than to meet the client’s goals, affecting returns, costs and legal recourse.

prospectus filings regulatory

"Transparency and Disclosure – Comprehensive SEC disclosure requirements including regular portfolio reporting and prospectus filings"

Prospectus filings are formal documents companies submit to regulators and share with the public when offering securities, such as during an initial public offering or a new stock sale. They act like a detailed product label, describing the business, financials, risks, how the raised money will be used, and key people, so investors can make informed comparisons and judgments about whether to buy the securities. Because they disclose material facts and risks, prospectuses are a primary source for assessing investment safety and potential return.

nyse-listed financial

"Funds suite, which currently comprises five NYSE-listed, rules-based ETFs targeting American defense"

nyse-listed means a company’s shares are officially traded on the New York Stock Exchange, one of the largest public marketplaces for stocks. For investors it signals that the company meets certain financial and reporting standards, and that its shares are generally easier to buy and sell—like a store on a busy main street where prices are visible and transactions happen frequently—helping with price transparency and liquidity.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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More flexible structures and broader investment strategies reflect the firm's commitment to America First investors

SARASOTA, Fla., May 19, 2026 /PRNewswire/ -- Yorkville America Equities, LLC ("Yorkville America"), sponsor and investment adviser for the Truth Social Funds, today announced that it has proactively withdrawn its registration statements filed under the Securities Act of 1933 (''33 Act') related to certain planned ETF strategies. This decision reflects the firm's determination that offering increasingly more innovative investment strategies under the Investment Company Act of 1940 (''40 Act') represents the optimal path forward for Yorkville America and its investors.

The withdrawal of the '33 Act filings is a proactive strategic decision. Yorkville America initiated this process after determining the '40 Act framework provides a structure for delivering the differentiated, rules-based investment strategies the firm continues to develop for its growing investor base.

"After careful evaluation, the '40 Act structure allows us to bring more differentiated investment strategies to our investors that are not possible under the '33 Act framework. Our focus has always been on delivering the right strategies through the right structures. This is a forward-looking decision that reflects our commitment to delivering the best possible investment products to our growing base of America First investors. Yorkville America is not stepping back – we are stepping forward with a stronger product platform."
Steve Neamtz, President, Yorkville America

The '40 Act framework — the regulatory structure under which the existing Truth Social Funds suite operates — provides enhanced investor protections, greater operational flexibility, and access to a broader range of institutional distribution channels. By concentrating its product development efforts under this structure, Yorkville America is positioned to bring to market a more innovative and differentiated suite of ETF strategies that better serve the needs of financial advisors, institutions, and individual investors aligned with the America First investment thesis.

The '40 Act framework provides meaningful structural advantages for investors:

• Enhanced Investor Protections – Independent board oversight, regular audits, and strict fiduciary standards
• Broad Investor Accessibility – Available across all major brokerage platforms, retirement accounts, and advisor-managed portfolios
• Tax Efficiency – In-kind creation and redemption mechanism generally minimizes capital gains distributions to shareholders - ETFs may offer tax efficiencies, but tax outcomes are not guaranteed. Capital gains distributions and other taxable events may occur, and investors should consult their tax advisor
• Transparency and Disclosure – Comprehensive SEC disclosure requirements including regular portfolio reporting and prospectus filings
• Established framework – Over 80 years governing U.S. investment companies – a structure investors, advisors, and institutions know and trust

Yorkville America remains fully committed to the continued growth and expansion of the Truth Social Funds suite, which currently comprises five NYSE-listed, rules-based ETFs targeting American defense and security, energy, next-generation technology, iconic American companies, and domestic real estate in high-growth states.

About Yorkville America
Yorkville America Equities LLC is a Florida-based registered investment adviser and the sponsor and investment adviser for the Truth Social Funds. Yorkville America specializes in providing rules-based, America First investment products for investors who believe in the strength, resilience, and long-term opportunity of the American economy. For more information, visit truthsocialfunds.com.

About the Truth Social Funds
The Truth Social Funds are a family of five NYSE-listed, rules-based, criteria-backed exchange-traded funds comprising securities with a Made in America focus spanning diverse industries. The Truth Social Funds are part of the Truth.Fi fintech brand from Trump Media & Technology Group Corp. (Nasdaq, NYSE Texas: DJT). For more information, including fund prospectuses, visit www.truthsocialfunds.com or call (201) 985-8300.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Yorkville America undertakes no obligation to update any forward-looking statements.

Important Disclosures
Investing involves risk, including the possible loss of principal. The Truth Social Funds are exchange-traded funds. Before investing, carefully consider each fund's investment objectives, risks, charges, and expenses. You may obtain a prospectus at www.truthsocialfunds.com/etfs or by calling (201) 985-8300. Please read the prospectus carefully before investing. PINE Distributors LLC is the distributor of the Truth Social Funds. Yorkville America Equities LLC is the investment adviser of the Truth Social Funds. PINE Distributors LLC is not affiliated with Yorkville America Equities LLC.

View original content:https://www.prnewswire.com/news-releases/yorkville-america-targets-more-compelling-etf-strategies-transitions-product-development-to-the-40-act-302776744.html

SOURCE Yorkville America

FAQ

What did Yorkville America announce about ETF strategies related to Truth Social Funds (DJT) on May 19, 2026?

Yorkville America announced it withdrew certain planned ETF registration statements under the ’33 Act and will focus on ’40 Act products. According to Yorkville America, this supports more differentiated, rules-based ETF strategies for Truth Social Funds (DJT) investors.

Why is Yorkville America shifting ETF product development to the ’40 Act for Truth Social Funds (DJT)?

Yorkville America is shifting to the ’40 Act because it believes this framework better supports differentiated, rules-based strategies. According to Yorkville America, the structure offers stronger investor protections, broader distribution, and flexibility for America First–themed ETFs tied to Truth Social Funds (DJT).

How does the ’40 Act framework benefit investors in Truth Social Funds (DJT) ETFs?

The ’40 Act framework provides independent board oversight, audits, and strict fiduciary standards. According to Yorkville America, it also supports broad brokerage and retirement account access, potential ETF tax efficiencies, and robust SEC disclosure, which may benefit Truth Social Funds (DJT) shareholders.

What happens to Yorkville America’s previously planned ’33 Act ETF strategies connected to DJT?

Yorkville America has proactively withdrawn registration statements for certain planned ’33 Act ETFs. According to Yorkville America, the firm will instead concentrate new ETF product development under the ’40 Act, aligning future strategies with this structure rather than pursuing the earlier ’33 Act approach.

Which market themes do the current Truth Social Funds (DJT) ETFs target under Yorkville America’s strategy?

The existing Truth Social Funds suite targets American defense and security, energy, next-generation technology, iconic American companies, and high-growth domestic real estate. According to Yorkville America, all five rules-based ETFs are NYSE-listed and operate under the ’40 Act framework.

What does Yorkville America’s ’40 Act focus mean for financial advisors considering DJT-related ETFs?

For advisors, Yorkville America’s focus on ’40 Act ETFs means products designed for broad institutional and retail distribution. According to Yorkville America, the structure supports advisor-managed portfolios, major brokerage platforms, and transparent reporting for Truth Social Funds (DJT)–aligned strategies.