APRP

📎 Investment Objective

The PGIM S&P 500 Buffer 12 ETF - April (APRP) seeks to provide investors with exposure to the S&P 500 Index while aiming to limit downside risk to 12% over a one-year period.

✨ Key Features

• Seeks to provide exposure to the S&P 500 Index with a 12% buffer against losses over a one-year period
• Uses a call option and put option strategy to implement the buffer protection
• Resets the buffer protection annually in April
• Has a low expense ratio of 0.00%

⚠️ Primary Risks

• Market risk: The ETF's performance is tied to the performance of the S&P 500 Index, and it is subject to the same market risks as the underlying index
• Option strategy risk: The success of the buffer protection strategy depends on the effective implementation of the call and put option positions
• Liquidity risk: As a new ETF, it may have lower trading volume and liquidity compared to more established funds
• Reset risk: The buffer protection resets annually, which may result in changes to the level of downside protection

👤 Best For

This ETF may be suitable for investors who are seeking exposure to the S&P 500 Index with a level of downside protection, and who have a medium-term investment horizon. It may be particularly appealing to investors who are concerned about potential market downturns and want to limit their downside risk while still participating in the upside of the broader market.