SMAX
iShares Large Cap Max Buffer Sep ETF
📎 Investment Objective
The iShares Large Cap Max Buffer Sep ETF (SMAX) seeks to provide exposure to large-cap U.S. stocks with a buffer against downside risk during a specified one-year period.
Overview
ETF tracking iShares Large Cap Max Buffer Sep ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The iShares Large Cap Max Buffer Sep ETF (SMAX) seeks to provide exposure to large-cap U.S. stocks with a buffer against downside risk during a specified one-year period.
🎯 Investment Strategy
SMAX aims to track the investment results of an index that provides large-cap U.S. equity exposure with a buffer against losses of up to 10% over a one-year period. The fund uses an options-based strategy to provide this downside protection.
✨ Key Features
- Seeks to provide large-cap U.S. equity exposure with a 10% buffer against losses over a one-year period
- Uses an options-based strategy to implement the downside protection
- Resets the buffer and one-year period on a periodic basis (e.g. September)
- Relatively low expense ratio of 0.00%
⚠️ Primary Risks
- Market risk - the fund's value will fluctuate with the overall stock market
- Options-based strategy risk - the effectiveness of the downside protection is dependent on the options market
- Reset period risk - the buffer and protection period reset periodically, potentially exposing investors to market declines
- Liquidity risk - as a newer fund, SMAX may have lower trading volume and liquidity
👤 Best For
SMAX may be suitable for investors seeking large-cap U.S. equity exposure with some downside protection, particularly those with a medium-term investment horizon and moderate risk tolerance. The buffer and reset period features make it most appropriate for investors who can hold the fund for the full one-year protection period.