QDVO Commentary October 2026

After several weeks of building beneath the surface, market volatility became more pronounced in October. The CBOE Volatility Index (VIX) rose sharply toward month-end as the AI trade, a key source of market leadership throughout much of the year, came under pressure. That weakness weighed most heavily on the Nasdaq-100, which declined approximately 6.63% during the month. However, the headline decline in growth stocks masked a notably different picture across the broader market: the S&P 500 finished October essentially flat, while the S&P 500 equal-weight index gained roughly 5.00%. This divergence reflected a broadening rotation in market leadership, with investors becoming more selective as they assessed companies committing significant capital and taking on additional leverage to fund growth, while increasingly favoring businesses characterized by healthy balance sheets, durable earnings, and positive free cash flow. Periods of heightened volatility surrounding midterm elections are not uncommon, and historically, markets have demonstrated resilience in the months that follow. While that history provides reason for optimism, the growing dispersion beneath the surface suggests that the companies and themes that led the market to this point may not necessarily be the ones that lead it forward. In an environment where fundamentals and valuations are receiving greater scrutiny, active management and disciplined security selection may become increasingly important.

During October, the Amplify CWP Growth & Income ETF (QDVO) returned -3.75% (NAV), outperforming the S&P 500 Growth Index, which returned -5.42%. The Fund benefited from its greater exposure to Consumer Staples relative to the benchmark, helping to offset broader weakness among growth stocks. QDVO’s covered call strategy also generated additional income during the month, with calls written on 14 portfolio holdings. In terms of sectors, Health Care, Consumer Staples, and Consumer Discretionary contributed the most to the Fund’s return, while Information Technology and Communication Services were the largest detractors.¹ Eli Lilly & Co. (LLY), Hasbro Inc. (HAS), and Tesla Inc. (TSLA) were the largest individual contributors, while Alphabet Inc. (GOOGL) and NVIDIA Corp. (NVDA) were the largest detractors.

During October, QDVO initiated a position in Sanmina Corp. (SANM) and subsequently exited it due to underperformance, and also exited its position in Caterpillar Inc. (CAT). The Fund increased its positions in Amazon.com Inc. (AMZN), Space Exploration Technologies Corp. (SPCX), and Broadcom Inc. (AVGO), reflecting stronger earnings growth supported by accelerating revenue in higher-margin business segments. Amazon’s AWS revenue grew 37% year over year in Q2 2026, its fastest pace in 18 quarters, helping drive a 64% increase in operating income. SpaceX also reported 92% year-over-year revenue growth in Q2, as Starlink subscribers doubled, demonstrating continued expansion in higher-margin connectivity and AI infrastructure amid growing contracted demand. QDVO ended the month with covered calls on seven positions, covering approximately 20.72% of the portfolio.²

The performance data quoted represents past performance and does not guarantee future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than the original cost. Current performance may be lower or higher than the performance quoted. For most recent month-end performance, visit QDVOETF.com.

YIELD

Distribution Rate is the normalized current distribution (annualized) over NAV per share. Distributions may include income, capital gains, or return of capital and may vary during the year, details in the Fund’s Form 19(a)-1. There is no guarantee the ETF will pay a distribution. 30-Day SEC Yield is a standard yield calculation developed by the Securities and Exchange Commission that allows for fairer comparisons among bond funds. It is based on the most recent month end. This figure reflects the income earned from dividends – excluding option income – during the period after deducting the Fund’s expenses for the period.

PERFORMANCE

Fund inception date: 8/21/2024. QDVO’s total expense ratio is 0.56%. The performance data quoted represents past performance and does not guarantee future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when sold or redeemed, may be worth more or less than the original cost. Current performance may be lower or higher than the performance quoted. For most recent month-end performance, visit AmplifyETFs.com/QDVO. Brokerage commissions will reduce returns. NAV is the sum of all its assets less any liabilities, divided by the number of shares outstanding. The closing price is the last price at which the fund traded.

All data as of 10/31/2026. Subject to change at any time. Fund holdings should not be considered recommendations to buy or sell any security. View Current Complete Holdings.