KJUN
Innovator U.S. Small Cap Power Buffer ETF - June
📎 Investment Objective
The Innovator U.S. Small Cap Power Buffer ETF - June seeks to provide investors with returns that match the price return of the Russell 2000 Index, up to a predetermined upside cap, while providing a buffer against the first 15% of losses over the course of a one-year period.
Overview
ETF tracking Innovator U.S. Small Cap Power Buffer ETF - June
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Innovator U.S. Small Cap Power Buffer ETF - June seeks to provide investors with returns that match the price return of the Russell 2000 Index, up to a predetermined upside cap, while providing a buffer against the first 15% of losses over the course of a one-year period.
🎯 Investment Strategy
The ETF uses a defined outcome strategy, seeking to provide exposure to the Russell 2000 Index with built-in downside protection. It achieves this by purchasing Russell 2000 Index-linked options with a strike price approximately 15% lower than the current value of the index, providing a 15% buffer against losses. The fund also purchases call options to create an upside cap on potential gains.
✨ Key Features
- Seeks to match the Russell 2000 Index price return up to a predetermined upside cap
- Provides a 15% buffer against losses over a one-year period
- Resets annually in June, offering a new one-year outcome period
- Expense ratio of 0.00%
⚠️ Primary Risks
- Market risk: The fund's value will fluctuate with the performance of the underlying index
- Capped upside potential: The fund's returns are capped at a predetermined level, limiting upside participation
- Liquidity risk: The fund may experience lower trading volumes, making it difficult to buy or sell shares
- Counterparty risk: The fund is exposed to the creditworthiness of the options counterparties
👤 Best For
The Innovator U.S. Small Cap Power Buffer ETF - June may be suitable for investors seeking small-cap equity exposure with a level of downside protection, particularly those with a moderate risk tolerance and a one-year investment horizon.