Allianz Investment Management LLC (AllianzIM), a wholly-owned subsidiary of Allianz Life Insurance Company of North America (Allianz Life®), announced the AllianzIM U.S. Large Cap Buffer10 Oct ETF (NYSE Arca: AZAO) and the AllianzIM U.S. Large Cap Buffer20 Oct ETF (NYSE Arca: AZBO), which will begin trading on the New York Stock Exchange on Thursday.
AllianzIM Buffered Outcome ETFs are designed to expand the risk management solutions available to investors. The lowest-cost buffered outcome ETFs on the market, AllianzIM ETFs seek to match the returns of the S&P 500 Price Return Index up to a stated Cap, while providing a level of risk mitigation through a Buffer against the first 10% and 20% of S&P 500 Price Return Index losses for AZAO and AZBO, respectively.
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Ticker |
Cap1 |
Buffer1 |
Outcome Period |
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AZAO |
16.30% Gross / 15.56% Net |
10% Gross / 9.26% Net |
October 1, 2020 to September 30, 2021 |
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AZBO |
8.60% Gross / 7.86% Net |
20% Gross / 19.26% Net |
October 1, 2020 to September 30, 2021 |
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1 Gross reflects the Cap and Buffer prior to taking into account the 0.74% expense ratio of the ETF while Net accounts for the expense ratio, but does not include brokerage commissions, trading fees, taxes, and non-routine or extraordinary expenses. The Cap and Buffer experienced by investors may be different than the stated numbers. The funds’ website, at www.allianzIM.com, provides important fund information as well as information relating to the potential outcomes of an investment in the Fund on a daily basis. |
“The presidential election this November has added another layer of uncertainty to an already volatile 2020,” notes Brian Muench, president of AllianzIM. “This latest series in the AllianzIM Buffered Outcome ETFs suite is designed to help investors mitigate risk in their portfolios amidst ongoing market volatility, while still providing the opportunity to participate in the upside potential of the equity market.”
AllianzIM’s Buffered Outcome ETFs are offered at an expense ratio of 74 basis points, with portfolio management conducted in-house by AllianzIM. The 12-month outcome period of the October series ETFs will be October 1, 2020 to September 30, 2021. Each Outcome Period reflects a new stated Cap commensurate with prevailing market conditions, allowing investors to remain invested with a level of risk mitigation. AllianzIM currently has four additional U.S. Large Cap Buffered Outcome ETFs on the market: AZAA, AZBA, AZAL, and AZBL.
AllianzIM Buffered Outcome ETFs leverage AllianzIM’s core strengths, which include risk management experience and in-house hedging capabilities. Managing over $145 billion in hedged assets, AllianzIM serves as a bridge between insurance and capital markets. Offering a new way to help investors seek to mitigate risk and reduce volatility, these new ETFs complement Allianz Life’s suite of annuity and life insurance products.
For more information on AllianzIM Buffered Outcome ETFs, please visit www.allianzIM.com.
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