PMAU
PGIM S&P 500 Max Buffer ETF - August
📎 Investment Objective
The PGIM S&P 500 Max Buffer ETF - August seeks to provide investors with exposure to the S&P 500 Index while limiting downside risk through a buffer against losses of up to 10% over a one-year period.
Overview
ETF tracking PGIM S&P 500 Max Buffer ETF - August
Performance
Price Chart
Investment Summary
📎 Investment Objective
The PGIM S&P 500 Max Buffer ETF - August seeks to provide investors with exposure to the S&P 500 Index while limiting downside risk through a buffer against losses of up to 10% over a one-year period.
🎯 Investment Strategy
The ETF achieves its objective by investing in a portfolio of S&P 500 stocks and using options strategies to provide the buffer against losses. The fund resets its buffer annually in August.
✨ Key Features
- Provides exposure to the large-cap S&P 500 Index
- Offers a 10% buffer against losses over a one-year period
- Resets the buffer annually in August
- Low expense ratio of 0.00%
⚠️ Primary Risks
- Market risk - The ETF's performance is tied to the S&P 500 Index and will fluctuate with the broader market
- Buffered loss risk - The 10% buffer may not be sufficient to protect against larger market declines
- Liquidity risk - As a new ETF, it may have lower trading volume and liquidity
- Counterparty risk - The options strategies used may expose the fund to risks related to the counterparties
👤 Best For
This ETF may be suitable for investors seeking large-cap equity exposure with some downside protection, particularly those with a medium-term investment horizon and moderate risk tolerance.