(BOXX) Alpha Architect 1-3 Month - Overview
ETF Category: Ultrashort Bond | Exchange: BATS (USA) | Market Cap: 11.978m USD | Total Return: 4.1% in 12m
Avg Turnover: 232M
Warnings
Fakeout
Tailwinds
No distinct edge detected
The Alpha Architect 1-3 Month Box ETF (BOXX) utilizes an options-based strategy known as a box spread to generate returns. Under normal conditions, the fund allocates at least 80% of its assets to these spreads, maintaining a weighted average maturity of less than 90 days. Box spreads are constructed using four simultaneous options contracts-two calls and two puts-to create a synthetic position that mimics the risk-free rate of return.
This approach operates within the ultrashort bond category but differs from traditional fixed-income funds by avoiding direct exposure to corporate or government debt instruments. Instead, the strategy captures the difference between the strike prices of the options, which historically tracks closely with Treasury bill yields. Because these trades are executed on regulated exchanges, they are cleared through a central counterparty, reducing individual issuer default risk. You can further analyze how this strategy compares to traditional cash equivalents on ValueRay.
- Short-term interest rate fluctuations impact the yield generated by box spreads
- Options market liquidity affects the execution pricing of underlying spread contracts
- Tax treatment of Section 1256 contracts influences investor demand and net returns
- Counterparty risk and exchange stability impact the security of option collateral
- Federal Reserve monetary policy shifts drive the benchmark return for cash equivalents
As of May 30, 2026, the stock is trading at USD 116.88 with a total of 2,988,680 shares traded.
Over the past week, the price has changed by +0.09%,
over one month by +0.32%,
over three months by +0.91% and
over the past year by +4.10%.
Alpha Architect 1-3 Month has no consensus analysts rating.