Innovator Capital Management (Innovator) has expanded the Innovator S&P 500 Buffer ETF suite with the launch of the April Series of Innovator S&P 500 Buffer ETFs on the Cboe.
The suite seeks to provide investors with exposure to the S&P 500 Price Return Index (S&P 500) up to a Cap, with downside buffer levels of 9 per cent, 15 per cent, or 30 per cent over an Outcome Period of approximately one year. The ETFs reset annually and can be held indefinitely. Innovator S&P 500 Buffer ETFs, with over USD390 million in AUM as of 29 March, 2019, are among the fastest growing new category of ETFs in the market today.
“Our Defined Outcome ETF suite is really a boon for investors as well as advisors,” says Bruce Bond, CEO of Innovator ETFs. “Now by simply selecting one of our S&P 500 Buffer ETFs at the desired level of risk, they can have a built-in buffer against losses. We believe Defined Outcome ETFs are a significant development for the investment industry at large, and they have the potential to challenge how professionals think about risk and portfolio construction.”
“The Innovator S&P 500 Buffer ETFSM suite represents a powerful tool box for advisors that can add significant value to portfolios, and help build enduring client relationships,” adds John Southard, Innovator’s Chief Investment Officer. “No other ETFs in the market today offer investors defined exposures to the S&P 500, where the downside buffer level, upside growth potential, and outcome period can all be known, prior to investing.”
The Innovator Defined Outcome S&P 500 Buffer ETFsm Suite – Quarterly Series – are:
Innovator S&P 500 Buffer ETFs (Cboe: BAPR, BJUL, BOCT, BJAN): Designed to track the return of the S&P 500 (up to a predetermined Cap) while buffering investors against the first 9 per cent of losses over the Outcome Period, before fees and expenses.
Innovator S&P 500 Power Buffer ETFs (Cboe: PAPR, PJUL, POCT, PJAN): Designed to track the return of the S&P 500 (up to a predetermined Cap) while buffering investors against the first 15 per cent of losses over the Outcome Period, before fees and expenses.
Innovator S&P 500 Ultra Buffer ETFs (Cboe: UAPR, UJUL, UOCT, UJAN): Designed to track the return of the S&P 500 (up to a predetermined Cap) while buffering investors against a decline of 30 per cent of losses over the Outcome Period, from -5 per cent to -35 per cent, before fees and expenses. Investors are exposed to loss between 0 per cent and 5 per cent and over 35 per cent over the Outcome Period, before fees and expenses.