FAUG

📎 Investment Objective

The FT Vest U.S. Equity Buffer ETF - August (FAUG) seeks to provide investors with a buffer against downside losses in the U.S. equity market over a one-year period, while providing upside participation.

✨ Key Features

• Seeks to provide a buffer against the first 10-15% of losses in the U.S. equity market over a one-year period
• Aims to capture a portion of the upside of the U.S. equity market during the same period
• Actively managed options-based strategy
• Resets the buffer and upside participation annually in August

⚠️ Primary Risks

• Market risk: The fund's performance is tied to the performance of the U.S. equity market, and it may lose value if the market declines
• Options risk: The fund's use of options may not be successful and could result in losses
• Liquidity risk: The fund may have difficulty buying or selling certain investments at an optimal time and price
• Concentration risk: The fund's focus on the U.S. equity market means it may be more volatile than a more diversified fund

👤 Best For

FAUG may be suitable for investors seeking to participate in the upside of the U.S. equity market with a level of downside protection. It may be particularly appealing to investors with a moderate risk tolerance who are concerned about potential market downturns. However, investors should be aware of the fund's risks and understand the limitations of the buffer strategy.