FAIRHOPE, Ala.–(BUSINESS WIRE)–Aptus Capital Advisors, LLC announces the launch of the International Drawdown-Managed Equity ETF (Cboe: IDME), an actively-managed exchange-traded fund (ETF) targeting non-U.S. stocks with a focus on managing drawdown risk through hedges.
The launch of IDME adds to the firm’s growing suite of actively-managed ETF strategies, as the firm recently reached $1.3 billion in assets under management across its ETFs. Launched in 2013, Aptus Capital Advisors supports advisors pursuing better client outcomes through hedged strategies, managed portfolios, and investment support. Independent wealth managers have gravitated to these strategies for their abilities to pursue upside while dynamically managing risk.
“Our Drawdown Patrol strategies have been a compelling solution for many advisors and their clients as they look to meet client needs in a low rate environment,” said JD Gardner, Founder and Portfolio Manager at Aptus Capital Advisors. “We’re proud to have helped advisors help clients over the past five years, and excited to extend our experience into international markets with the launch of IDME.”
“We are pleased Aptus Capital Advisors has once again selected Cboe as the primary listing venue for their suite of actively managed ETFs,” said Laura Morrison, Senior Vice President and Global Head of Listings at Cboe Global Markets. “As their product offerings continue to grow on our exchange, we remain committed to providing best-in-class market quality and unmatched listings services to support their continued success.”
IDME seeks capital appreciation with downside protection by investing in a portfolio of ETFs that invest in equity securities of non-U.S. (international) companies in developed and emerging markets throughout the world. The fund purchases and/or writes (sells) exchange-listed call or put options on one or more broad-based indexes or ETFs that track the performance of equity markets outside of the United States to (i) limit downside (“drawdown”) risk, (ii) create additional equity exposure, and/or (iii) generate premiums from writing call options on the fund’s equity investments. At least 80% of the fund’s net assets will be invested in equity securities. IDME began trading on the Cboe BZX Exchange on Friday, July 23, 2021.
Investors can learn more about IDME at www.aptusetfs.com
Aptus Capital Advisors
Aptus Capital Advisors is an SEC registered investment advisor and serves as the Funds’ investment advisor. The funds are distributed by Quasar Distributors, LLC.
An investor should carefully consider the investment objectives, risks, charges and expenses of the ETFs as applicable, before investing. The prospectus of IDME contains this and other important information and is available free of charge by calling toll-free at 1-800-617-0004 or writing to Aptus at 265 Young Street, Fairhope, AL 36532. The prospectus should be read carefully before investing.
Investing involves risk and principal loss is possible. Shares of ETFs are bought and sold in the secondary market at market prices (not NAV) and are not individually redeemed from the Fund. Derivative Securities Risk. The Fund invests in options that derive their performance from the performance of an underlying reference asset. Derivatives, such as the options in which the Fund invests, can be volatile and involve various types and degrees of risks, depending upon the characteristics of a particular derivative. Emerging Markets Risk. The Fund may invest in companies organized in emerging market nations. Investments in securities and instruments traded in developing or emerging markets, or that provide exposure to such securities or markets, can involve additional risks relating to political, economic, or regulatory conditions not associated with investments in U.S. securities and instruments or investments in more developed international markets. Foreign Securities Risk. Investments in non-U.S. securities involve certain risks that may not be present with investments in U.S. securities. High Portfolio Turnover Risk. The Fund may frequently buy and sell portfolio securities and other assets to rebalance the Fund’s exposure to specific securities. New Fund Risk. The Fund is a recently organized investment company with a limited operating history. Non-Diversification Risk. The Fund is considered to be non-diversified, which means that it may invest more of its assets in the securities of a single issuer or a smaller number of issuers than if it were a diversified fund. Options Risk. Selling (writing) and buying options are speculative activities and entail greater than ordinary investment risks. Tail Hedge Risk. The Fund may purchase put options designed to mitigate the Fund’s exposure to significant declines in the broader U.S. equity market. These and other risks are outlined in the prospectus.