During these times of uncertainty, solutions to limit the negative effects of sudden spikes in volatility are needed, now more than ever. Investors should consider the benefits of alternative investments that incorporate an innate buffer to diminish downside risks but still maintain upside potential to capture market moves.
In the upcoming webcast, The Defined Outcome ETF Revolution, Bruce Bond, Co-Founder and CEO, Innovator ETFs; and Graham Day, Vice President of Product and Research, Innovator ETFs, will explain how the Defined Outcome strategy with a built-in buffer may help financial advisors better diversify client portfolios.
For example, the June series includes the Innovator S&P 500 Buffer ETF (BJUN), Innovator S&P 500 Power Buffer ETF (PJUN), and Innovator S&P 500 Power Buffer ETF (UJUN), which have a 9%, 15%, and 30% buffer, respectively.
The July series includes Innovator S&P 500 Buffer ETF (CBOE: BJUL), Innovator S&P 500 Power Buffer ETF (CBOE: PJUL), and Innovator S&P 500 Ultra Buffer ETF (CBOE: UJUL).
The series of Defined Outcome ETFs are designed to provide investors an opportunity to purchase shares as close to the beginning of their respective Outcome Periods as possible. Investors can also purchase shares of a previously listed Defined Outcome ETF throughout the entire Outcome Period and obtain a current set of defined outcome parameters.
Knowing the return profile before investing can significantly reduce the uncertainty involved in buying equities, which typically are among the most volatile asset classes in many investors’ portfolios. Innovator Defined Outcome ETFs represent a new type of strategy that can be effective tools for investors to strike a balance between growth and risk mitigation in portfolios, in a systematic and disciplined manner.
Additionally, Innovator has been working on the first-ever bond buffer ETF series. According to a Securities and Exchange Commission exempted relief filing, Innovator has been crafting the Innovator 20+ Year Treasury Bond 5% Floor ETF – July. In a separate exemptive relief filing, Innovator is also looking at an Innovator 20+ Year Treasury Bond 9% Buffer ETF – July.
Financial advisors who are interested in learning more about defined outcome strategies can register for the Monday, June 29 webcast here.