AIM ETF Products Trust - AllianzIM U.S. Large Cap Buffer20 Jul ETF (JULW)

Overview

The AllianzIM U.S. Large Cap Buffer20 Jul ETF (JULB) seeks to provide investors with returns that match the performance of the S&P 500 Index, up to a predetermined cap, while buffering investors against the first 20% of losses over a specific one-year period. It focuses on U.S. large-cap stocks and employs a strategy using flexible exchange options to achieve its buffer and cap. The fund rebalances annually in July.

Reputation and Reliability

Allianz Investment Management is a well-established global asset manager with a strong reputation. They are known for their expertise in risk management and structured solutions.

Management Expertise

The management team has experience in options strategies and ETF management, providing a blend of market understanding and tactical expertise.

Goal

To provide buffered exposure to the S&P 500 Total Return Index, limiting downside risk to the first 20% of losses while offering upside participation up to a cap.

Investment Approach and Strategy

Strategy: The ETF employs a flexible exchange options strategy to create a buffer against the first 20% of market declines over a one-year period, while also limiting potential gains via a cap.

Composition The ETF does not directly hold equities; instead, it uses a portfolio of flexible exchange options contracts on the S&P 500 Index.

Market Share: Data on market share is not readily available.

Total Net Assets (AUM): 90130966

Key Competitors

• Innovator U.S. Equity Buffer ETF (BJUL)
• Simplify US Equity PLUS Downside Convexity ETF (SPYC)
• FT Cboe Vest U.S. Equity Deep Buffer ETF - July (JULZ)

Competitive Landscape

The competitive landscape consists of other buffered ETFs that aim to provide downside protection. JULB competes with ETFs offering similar buffer strategies, but with varying caps, expense ratios, and underlying methodologies. JULBu2019s competitive advantage lies in AllianzIM's expertise and its specific buffer and cap structure. A potential disadvantage is that the cap limits potential gains compared to unbuffered S&P 500 exposure.

Historical Performance: Historical performance data should be retrieved from financial data providers.

Benchmark Comparison: Compare to the S&P 500 Total Return Index to assess the buffer and capu2019s effectiveness.

Expense Ratio: 0.79

Average Trading Volume

The ETF's liquidity, assessed through average trading volume, indicates how easily shares can be bought or sold. As of February 2024, the 3-month average trading volume is around 18,993 shares per day.

Bid-Ask Spread

The bid-ask spread, crucial for understanding trading costs, typically ranges from 0.1% to 0.2%, depending on market conditions.

Market Environment Factors

Economic indicators, interest rates, and equity market volatility influence the attractiveness of buffered ETFs. Bull markets may reduce the appeal of downside protection, while volatile markets can increase demand.

Growth Trajectory

The growth trajectory depends on investor demand for downside protection. The fundu2019s strategy and holdings remain relatively stable, rebalancing annually in July.

Competitive Edge

JULB's competitive edge stems from AllianzIM's robust reputation and expertise in managing risk-managed investment strategies. It specifically targets investors seeking defined downside protection combined with the opportunity to participate in market upside, albeit capped. This ETF uses flexible exchange options to achieve its investment objectives. It also provides transparency by rebalancing annually and by aligning with a well-known market index (S&P 500).

Volatility

The ETF's volatility is generally lower than the S&P 500 due to the buffer strategy.

Market Risk

The primary market risk is that the cap limits potential gains, and the buffer only protects against the first 20% of losses. Investors remain exposed to losses exceeding 20%.

Ideal Investor Profile

Investors who are moderately risk-averse and seek to participate in equity market gains while mitigating downside risk are ideal for JULB.

Market Risk

JULB is suitable for long-term investors looking for a defined level of downside protection and upside participation.

AllianzIM U.S. Large Cap Buffer20 Jul ETF (JULB) offers a strategy to provide buffered exposure to the S&P 500 Total Return Index, seeking to minimize downside risk up to a 20% loss. It utilizes flexible exchange options with an annual rebalancing in July. This ETF caters to risk-averse investors who are still seeking potential market gains, albeit with a capped upside. Investors should consider the expense ratio and the limitations of the buffer and cap when considering this investment. The ETF's performance relies on the manageru2019s ability to achieve both its buffer and participation strategy.

Data Sources:

• AllianzIM Website
• ETF.com
• Morningstar

Disclaimers:

The information provided is for informational purposes only and does not constitute investment advice. Past performance is not indicative of future results. Investing in ETFs involves risk, including the potential loss of principal.