Calamos Investments, a leading alternatives manager, announced the planned launch of the Calamos Laddered S&P 500 Structured Alt Protection ETF (CPSL) on September 9, 2024 (Cboe).
The launch reflects the firm’s ongoing expansion of the Calamos Structured Protection ETFs
series, a suite of ETFs offering capital-protected exposure across leading US indices.
CPSL is the first of its kind, bundling ETFs that offer 100 percent downside protection over their one-year outcome periods. The Fund is ideal for financial advisors seeking efficient model implementation across multiple client accounts, providing a high degree of capital protection and beta management while minimizing timing risk.
President and CEO John Koudounis has recently explained that with the upcoming US Presidential election, market volatility has become a rising concern for investors. The uncertainty surrounding election outcomes can trigger investor retreats that may hurt their portfolios.
This risk is magnified during election periods as markets react to new policies, leadership changes, and shifts in geopolitical dynamics. Investors often face the dilemma of how to protect their portfolios from potential losses without sacrificing the opportunity for gains. Traditional hedging strategies, such as options and futures, can be complex and costly.
The CPSL is particularly well suited for retirement or other decumulation strategies, thanks to its attributes that preserve capital and drastically reduce the impact of market drawdowns.
Calamos ETF eliminates short-term risk
“Calamos remains steadfast in its commitment to innovate, now offering laddered exposure across our series of 100% downside-protected S&P 500 Structured Protection ETFs,” said Koudounis, who has been named “Global Investments Leader of the Year” by CEO Today.
“Many of our clients have expressed interest in having a single-ticker portfolio solution which eliminates short-term selection risk while creating an attractive risk/reward outcome. We’re meeting that demand with CPSL.”
During its initial launch phase, CPSL will seek to allocate assets equally across each of Calamos’ current monthly Structured Protection S&P 500 ETFs (currently CPSM, CPSJ, CPSA, and CPST) and will continue to invest in any new S&P 500 series through June 2025.
CPSL’s underlying ETFs will each roll upon the completion of its outcome period, smoothing the rolling upside cap rates while providing substantial downside protection. CPSL’s total expense ratio is 0.79%.
Calamos Investments is a diversified global investment firm offering innovative investment strategies, including alternatives, multi-asset, convertible, fixed income, private credit, equity, and sustainable equity.
With $38.5 billion in AUM, including more than $16 billion in liquid alternatives assets as of July 31, 2024, the firm offers strategies through ETFs, mutual funds, closed-end funds, interval funds, and UCITS funds and separately managed portfolios.
Clients include financial advisors, wealth management platforms, pension funds, foundations & endowments, and individuals, globally. Headquartered in the Chicago metropolitan area, the firm also has offices in New York, San Francisco, Milwaukee, Portland (Oregon), and the Miami area.
For more information, visit www.calamos.com.
