TrueMark Investments has launched MAYZ, the eleventh ETF in the True-Shares structured outcome product suite.
The TrueShares Structured Outcome (May) ETF is sub-advised by SpiderRock Advisors, a Chicago-based asset management firm specialising in option overlay strategies. The fund seeks to provide investors with structured outcome exposure to the S&P 500 Price Index. TrueMark believes its structured outcome ETF suite is the first of its kind to offer built-in downside buffers with uncapped upside participation.
MAYZ’s structure allows for the potential of an asymmetric return profile. The fund seeks to provide investors with returns (before fees and expenses) that track the S&P 500 Price Index, while seeking to provide a buffer of 8-12 per cent on that index’s losses over the fund’s one-year investment period. In practice, the fund adviser will target the buffer at 10 per cent of index declines over the investment period following the first day of trading while also allowing for uncapped upside participation. MAYZ’s expense ratio is 0.79 per cent.
“There is no lack of well thought out opinions regarding what lies ahead for the markets. But I think we can be reasonably sure that they won’t all be correct,” says Michael Loukas, CEO at TrueMark Investments, the Advisor to TrueShares. “Rates, inflation, tax hikes, valuations, earnings and lest we forget, the pandemic, are all factors that will create tremendous uncertainty in the coming years. Our structured outcome ETFs were created for investors who understand the importance of maintaining exposure to equities, but are also keenly aware of the volatility rollercoaster that sometimes must be endured in order to reap gains over the long-term.”
“MAYZ is designed to help lessen the tactical burden by providing investors a single-ticker solution that can both help protect their capital from sharp declines and still offer the potential to rack up gains as the resilient bull market climbs to higher and higher ground,” says Michael Loukas, CEO at TrueMark Investments. “We accomplish this by pairing an uncapped upside structure with a protective downside buffer to create a practical tool for investors committed to harnessing the markets’ inherent positive return bias over time.”
MAYZ is the eleventh monthly series in the True-Shares Structured Outcome ETF suite. Each fund will roll into a new investment position at the end of a year- long term, at which point the downside buffer and upside participation will reset based on current pricing for the options used by the strategy for each respective ETF.
“Often time the biggest challenge with investing in a bull market is simply holding onto your exposure in the face of the occasional pullback,” says Eric Metz, fund portfolio manager and Chief Investment Officer at SpiderRock Advisors. “Our lineup of structured outcome ETFs is built with this in mind, and we’re excited to offer investors another instrument for their toolbox that enables capital appreciation without having to sacrifice their capital preservation objectives.”
