AllianzIM Adds to Lineup of Risk Management ETFs | ETF Trends

Today, AllianzIM added two more ETFs designed to help investors with risk management. One is the first in its new “Floor” family of ETFs and the other is a continuation of an existing family of funds.

The AllianzIM U.S. Equity 6 Month Floor5 Jan/Jul ETF (NYSE Arca: FLJJ) looks to provide the price return of the SPDR S&P 500 ETF Trust (SPY) while limiting losses over a six-month outcome period to just 5%, though the current outcome period is just 5 months. The fund has a pre-expenses upside performance cap of 7.66%. Allianz said in a press release it expects to launch a similar fund in April. That fund will have a defined outcome period running from the start of April to the end of October, at which point it will reset.

Like other defined outcome ETFs, the fund invests primarily in flexible exchange (FLEX) options to achieve its stated goals.

“The Floor5 ETF series embodies our commitment to providing adaptable and forward-thinking risk management solutions,” said AllianzIM CEO Chris Chambs.

“Risk is an inevitable part of the investing journey, particularly in today’s uncertain macroeconomic environment. This expanded ETF portfolio helps meet a growing investor demand for robust tools designed to weather ever-changing market cycles,” he added.

The issuer also launched another fund in its series of buffer ETFs. The new product protects against the first 10% of losses while allowing for upside performance up to a cap. The AllianzIM U.S. Large Cap 6 Month Buffer10 Feb/Aug ETF (NYSE Arca: SIXF) resets every six months. It has a pre-expenses upside cap of 7.73%.

FLJJ and SIXF both have expense ratios of 0.74%.

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