TrueMark grows structured outcome ETF suite
Illinois-based asset manager TrueMark Investments has launched MARZ, the ninth ETF in the True-Shares structured outcome product suite.
The TrueShares Structured Outcome (March) ETF is sub-advised by SpiderRock Advisors, a Chicago-based asset management firm specialising in option overlay strategies. The fund seeks to provide investors with structured outcome exposure to the S&P 500 Price Index. TrueMark believes its structured outcome ETF suite is the first of its kind to offer built-in downside buffers with uncapped upside participation.
MARZ’s structure allows for the potential of an asymmetric return profile. The fund seeks to provide investors with returns (before fees and expenses) that track the S&P 500 Price Index, while seeking to provide a buffer of 8-12 per cent on that index’s losses over the fund’s one-year investment period. In practice, the fund adviser will target the buffer at 10 per cent of index declines over the investment period following the first day of trading while also allowing for uncapped upside participation. MARZ’s expense ratio is 0.79 per cent.
“The last twelve months have ushered in a market conditions that investors haven’t seen in decades. Increased volatility, low-yields and a relentless bull have increased demand for new portfolio tools to help investors maintain much needed equity participation as they stare down the looming uncertainty of a post-pandemic economy,” says Michael Loukas, CEO at TrueMark Investments. “This sort of environment can be very frustrating to navigate solely using traditional equity index funds, which is why we keep expanding our lineup of structured outcome ETFs. We believe that MARZ’s combination of a built-in downside buffer and uncapped upside participation is a timely portfolio construction tool that is well-suited for today’s challenging market conditions.”
MARZ is the ninth monthly series in the True-Shares Structured Outcome ETF suite. For ease of investor use, each series will roll into a new investment position at the end of a year- long term, at which point the downside buffer and upside participation will reset based on current options pricing. Each respective ETF symbol remains the same.
“As this period of market uncertainty continues to unfold, revealing the clear potential benefits of structured outcomes products, we are thrilled to be partnering with TrueMark Investments as they bring their ninth ETF in their structured outcome suite to market” says Eric Metz, fund portfolio manager and Chief Investment Officer at SpiderRock Advisors. “We believe the ability to create an attractive risk-reward investment profile in a daily-traded, cost-effective vehicle should put these ETFs top-of-mind for investors looking to gain prudent large-cap, US equity exposure.”