As we near the end of the first quarter, market volatility continues to plague the capital markets. How are advisors managing to navigate market risk while continuing to produce impressive returns?
In the upcoming webcast, Risk and Reward: Strategies for Volatility in a Low Rate Environment, Brendan Cavanaugh, ETF Product Specialist, Allianz Investment Management LLC; and Joanna Kanakis, Head of Enterprise Sales, Halo Investing, LLC, will outline a new approach to risk management, with risk- and volatility-reduction ETFs you can use in your own clients’ portfolio.
Specifically, Allianz has come out with a suite of Buffered Outcome ETFs designed to expand the risk management solutions available to investors. The lowest-cost buffered outcome ETFs on the market, AllianzIM ETF, 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. The suite includes:
- AllianzIM U.S. Large Cap Buffer10 Jan ETF (AZAJ)
- AllianzIM U.S. Large Cap Buffer20 Jan ETF (AZBJ)
- AllianzIM U.S. Large Cap Buffer10 Apr ETF (AZAA)
- AllianzIM U.S. Large Cap Buffer20 Apr ETF (AZBA)
- AllianzIM U.S. Large Cap Buffer10 Jul ETF (AZAL)
- AllianzIM U.S. Large Cap Buffer20 Jul ETF (AZBL)
- AllianzIM U.S. Large Cap Buffer10 Oct ETF (AZAO)
- AllianzIM U.S. Large Cap Buffer20 Oct ETF (AZBO)
The ETFs follow a 12-month Outcome Period. Each Outcome Period reflects a new stated Cap commensurate with prevailing market conditions, allowing investors to remain invested with a level of risk mitigation.
While there may be benefits to investing in the ETFs from the onset, investors can purchase the funds at any time within the stated outcome period. Each outcome period reflects a new stated cap commensurate with prevailing market conditions, allowing investors to remain invested with a level of risk mitigation.
The AllianzIM Buffered Outcome ETFs leverage AllianzIM’s core strengths, which include risk management experience and in-house hedging capabilities. As part of one of the largest asset management and diversified insurance companies in the world, AllianzIM, with an AUM of $16.4 billion, is powered by the same proprietary in-house hedging platform that is used among affiliates to help manage more than $145 billion in hedged assets for institutional and retail investors around the globe. 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.
Financial advisors who are interested in learning more about risk management strategies can register for the Thursday, March 18 webcast here.