Leaping Black Swans: New ETF Seeks Downside Buffer + S&P 500 Upside Potential – Amplify ETFs – 11.30.18
Summary:
Now On Demand.
Recent stock market volatility has reminded investors of the inherent risks in equity investing, and prompted them to evaluate if and how they’re protected on the downside.
Many investment strategies that attempt to protect or buffer downside risk are complex, expensive, or don’t provide any potential for upside equity participation.
Join Amplify ETFs and ARGI Investments as we discuss a simple, yet powerful strategy that may help investors buffer against significant losses while still participating in potential equity upside. We will discuss:
Navigating volatile markets and the need for better investment tools
Inside the BlackSwan strategy: principles, components & results
What is the SWAN ETF and where does it fit in an overall portfolio?
The Amplify BlackSwan Growth & Treasury Core ETF (SWAN) is a new solution that seeks investment results that correspond to the S-Network BlackSwan Core Total Return Index (the Index). The Index’s investment strategy seeks uncapped exposure to the S&P 500 (via in-the-money LEAP call options), while seeking to buffer against the possibility of significant losses (via U.S. Treasury Securities).
Sponsors of this webcast may contact registrants. This webcast is for financial professionals only.
Speakers:
Christian Magoon Founder & CEO Amplify ETFs
An ETF veteran, Christian has launched over 60 ETFs in the United States to date. He has helped drive the adoption of ETFs by U.S. investors through numerous educational efforts highlighting the efficiency, transparency and flexibility of the ETF vehicle. Christian has been behind many innovative ETFs, including cybersecurity, online retail, frontier markets, spinoff, solar energy, multi-asset income, data sharing technology, and battery metals. Prior to founding Amplify, Christian served as President of U.S.-based asset manager Claymore Securities. Amplify ETFs, sponsored by Amplify Investments, has over $650 million in assets across seven ETFs for which it is Adviser or Sub-Adviser (as of 12/31/2018).The launch of SWAN is consistent with Amplify’s value proposition to bring innovative strategies to the ETF marketplace.
Dan Cupkovic, CFP Director of Investments ARGI Investment Services
As Director of Investments at ARGI, Dan’s responsibilities include portfolio management, research and general supervision of the Investment Department. Furthermore, Dan is also a key member of the ARGI Investment Committee, which actively oversees the ARGI managed investment strategies. He also acts as portfolio manager for the Value, Defensive Equity, Dividend Select, and BlackSwan strategies. He has been featured in Barron’s and FA Magazine.
Overview:
Title: Leaping Black Swans: New ETF Seeks Downside Buffer + S&P 500 Upside Potential
The Standard & Poor’s 500 Index – S&P 500 is a market-capitalization-weighted index of the 500 largest U.S. publicly-traded companies by market value.
The Fund is not a money market fund.See the Amplify BlackSwan Growth & Treasury Core ETF prospectus.
Read the prospectus carefully before investing.
Investing involves risk, including the possible loss of principal. Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the Fund. The Fund’s return may not match or achieve a high degree of correlation with the return of the underlying Index. To the extent the Fund utilizes a sampling approach, it may experience tracking error to a greater extent than if the Fund had sought to replicate the Index. The use of derivative instruments, such as options contracts, can lead to losses because of adverse movements in the price or value of the underlying asset, index or rate, which may be magnified by certain features of the derivatives. Investing in options, including LEAP Options, and other instruments with option-type elements may increase the volatility and/or transaction expenses of the Fund. An option may expire without value, resulting in a loss of the Fund’s initial investment and may be less liquid and more volatile than an investment in the underlying securities. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. The Fund is non- diversified, meaning it may concentrate its assets in fewer individual holdings than a diversified fund.
The S-Network BlackSwan Core Total Return Index (Ticker: SWANXT) holds U.S. Treasury securities and SPY LEAP Options. On each rebalancing date, the Index targets 90% of its index market capitalization in U.S. Treasury securities and 10% targets of its index market capitalization in SPY LEAP Options. The weighting of U.S. Treasury securities is determined by the option reconstitution schedule. The S-Network BlackSwan Core Total Return Index is a trademark of the Index Provider and has been licensed for use for certain purposes by the Adviser. The Index Provider is not affiliated with the Trust, the Adviser, either Sub-Adviser or the Distributor. The Fund is entitled to use the Index pursuant to a sub-licensing agreement with the Adviser. It is not possible to directly invest in an index.
Long-term equity anticipation securities (LEAPS) are publicly traded options contracts with expiration dates that are longer than one year.
An “in-the-money” call option contract is an option contract with a strike price that is below the current price of the underlying reference asset.
Amplify Investments LLC is the Investment Adviser to the Fund, and ARGI Investment Services, LLC and Exponential ETFs serve as the Investment Sub-Advisers.
Amplify ETFs are distributed by Quasar Distributors LLC
