PSFD
Pacer Swan SOS Flex (January) ETF
📎 Investment Objective
The Pacer Swan SOS Flex (January) ETF seeks to provide investors with a defined outcome investment strategy that aims to provide downside protection and upside participation over a one-year period.
Overview
ETF tracking Pacer Swan SOS Flex (January) ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Pacer Swan SOS Flex (January) ETF seeks to provide investors with a defined outcome investment strategy that aims to provide downside protection and upside participation over a one-year period.
🎯 Investment Strategy
The ETF uses a put spread options strategy to provide a buffer against the first 10-15% of losses in the S&P 500 Index, while also allowing for upside participation up to a cap. The options positions are reset annually in January.
✨ Key Features
- Defined outcome strategy with downside buffer and upside participation
- Options positions reset annually in January
- Expense ratio of 0.00%
- Low assets under management ($0)
⚠️ Primary Risks
- Market risk - the ETF's performance is tied to the S&P 500 Index and can be impacted by overall market movements
- Counterparty risk - the ETF relies on options contracts, which carry the risk of the counterparty being unable to fulfill the contract
- Liquidity risk - with low assets under management, the ETF may have lower trading volume and liquidity
- Cap risk - the upside participation is capped, limiting potential gains
👤 Best For
This ETF may be suitable for investors seeking downside protection and limited upside participation in the equity markets over a one-year time horizon. It could be used as a tactical allocation within a diversified portfolio.