Global X Super Dividend ETF (NYSEArca: SDIV) has lowered its expense ratio to 0.58% from 1.14%.

The fund’s manager, Global  X, was able to lower the overall fee after getting rid of business development companies in the ETF’s portfolio, IndexUniverse reports. That allows the ETF to avoid paying acquired fund fees, according to the report.

“When we launched the fund, the acquired fund fees from the BDCs [business development companies]were estimations, and after the accounting period, they went up,” a Global X official told IndexUniverse.

“The Global X management fee was always at 58 basis points,” the official said.

SDIV pays a 30-day SEC yield of 7.7%. [ETF Spotlight: Global X Super Dividend]

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