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Distributions from ETNs are therefore treated as interest tax wise and subjected to the ordinary income tax rate.The expense ratio of DVHL consists of 0.85% in "tracking rate" and 0.40% in "financing spread", giving a baseline expense ratio of 1.25%. This is intermediate for the ETRACS ETNs, whose baseline expense ratios range from 0.70% to 1.95%. Added to the baseline expense ratio of DVHL is the 3 month Libor rate of 1.22% which is needed to maintain the fund's 2x leverage, giving a total expense ratio of 2.47%.One metric that I have devised to account for both the leverage of a CEF as well as the expense that one would have had to pay for a similar passive strategy is the "active expense" metric.

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iPhone Cases
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