Global financial services leader expands suite of next-generation risk management solutions
Allianz Investment Management LLC (AllianzIM), a wholly owned subsidiary of Allianz Life Insurance Company of North America (Allianz Life®), announces the AllianzIM U.S. Large Cap Buffer10 Jul ETF (NYSE Arca: AZAL) and the AllianzIM U.S. Large Cap Buffer20 Jul ETF (NYSE Arca: AZBL) will begin trading on the New York Stock Exchange.
AllianzIM Buffered Outcome ETFs are designed to expand the risk management strategies available to investors as prevailing market dynamics and declining appetite for risk create new challenges. Now offering low-cost buffered outcome ETFs, the AllianzIM ETFs seek to match the returns of the S&P 500 Price Return Index up to a stated Cap, while providing downside risk mitigation through a Buffer against the first 10% and 20% of S&P 500 Price Return Index losses for AZAL and AZBL, respectively over the 12-month outcome period.
16.10% Gross / 15.36% Net
10% Gross / 9.26% Net
July 1, 2020 to June 30, 2021
8.80% Gross / 8.06% Net
20% Gross / 19.26% Net
July 1, 2020 to June 30, 2021
1 Gross reflects the Cap and Buffer prior to taking into account the 0.74% expense ratio of the ETF while Net accounts for the expense ratio, but does not include brokerage commissions, trading fees, taxes and non-routine or extraordinary expenses. The Cap and Buffer experienced by investors may be different than the stated numbers. The funds’ website, at www.allianzIM.com, provides important fund information as well as information relating to the potential outcomes of an investment in the Fund on a daily basis.
"Following the launch of AllianzIM Buffered Outcome ETFs in June, the rollout of the July series marks the first opportunity to remain invested for the entire 12-month outcome period," notes Brian Muench, president of AllianzIM. "Amid the uncertainty created by the coronavirus pandemic, the defined outcome period allows investors a buffer against downside risk, while still participating in the upside potential of the equity market."
AllianzIM’s Buffered Outcome ETFs are offered at an expense ratio of 0.74% with portfolio management conducted in-house by AllianzIM. AllianzIM listed its inaugural U.S. Large Cap Buffered Outcome ETFs, AZAA and AZBA, on June 1, 2020.
Accessible to retail investors via the New York Stock Exchange, AllianzIM Buffered Outcome ETFs are also available to investment professionals through Halo Investing, Inc.’s (Halo) global technology platform. Halo’s technology is first in the market to help investors track and analyze this relatively new type of ETF utilizing many of the same analytics and portfolio tracking tools used under Halo’s core structured note platform.
"Building a technology platform for more informed investment decisions is our goal," says Halo co-founder and President Jason Barsema. "With buffered outcome ETFs, there are new key variables that financial professionals can track and manage including cap and buffer levels with real-time market data to fully understand the product. Halo has built these portfolio tools so clients can more confidently invest with this new outcome-oriented ETF strategy."
AllianzIM Buffered Outcome ETFs leverage AllianzIM’s core strengths, which include risk management experience and in-house hedging capabilities. Managing over $145 billion in hedged assets, AllianzIM serves as a bridge between insurance and capital markets. Offering a new way to help investors seek to mitigate risk and reduce volatility, these new ETFs complement Allianz Life’s suite of annuity and life insurance products.
For more information on AllianzIM Buffered Outcome ETFs, please visit www.allianzIM.com.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus with this and other information about the Fund, please call 877.429.3837 or download and review the prospectus. Read the prospectus carefully before investing.
The Funds seek to deliver returns that match, at the end of a specified one-year period (outcome period) the returns of the S&P 500 Price Index up to a predetermined Cap, while limiting downside losses by the amount of a specified Buffer, before fees and expenses. There is no guarantee the funds will achieve their investment objectives. You may lose your entire investment, regardless of when you purchase shares, and even if you hold shares for an entire Outcome Period. The Fund may not be suitable for all investors.
The "S&P 500 Price Return Index" ("Index") is a product of S&P Dow Jones Indices LLC or its affiliates ("SPDJI") and Standard & Poor’s Financial Services LLC ("S&P"), and has been licensed for use by Allianz Investment Management LLC ("AllianzIM"). Standard & Poor’s®, S&P®, and S&P 500® are registered trademarks of S&P; Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by AllianzIM. AllianzIM U.S. Large Cap Buffer 10 Jul ETF and AllianzIM U.S. Large Cap Buffer 20 Jul ETF are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, or their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the Index.
Distributed by Foreside Fund Services, LLC.
About Allianz Investment Management LLC
AllianzIM, a wholly owned subsidiary of Allianz Life Insurance Company of North America, is a registered investment adviser and represents the Minneapolis hub of the global Allianz Investment Management network established by Allianz SE. AllianzIM provides hedging and other derivatives-based risk management solutions through its proprietary platform.
About Allianz Life Insurance Company of North America
Allianz Life Insurance Company of North America, one of the FORTUNE 100 Best Companies to Work For® and one of the Ethisphere World’s Most Ethical Companies in 2020®, has been keeping its promises since 1896 by helping Americans achieve their retirement income and protection goals with a variety of annuity and life insurance products. In 2019, Allianz Life provided additional value to its policyholders via distributions of more than $10.4 billion. As a leading provider of fixed index annuities, Allianz Life is part of Allianz SE, a global leader in the financial services industry with over 147,000 employees in more than 70 countries. Allianz Life is a proud sponsor of Allianz Field in St. Paul, Minnesota, home of Major League Soccer’s Minnesota United.
About Halo Investing
Halo Investing is a marketplace that connects advisors with global financial institutions to find, purchase and manage structured investment products in their portfolios. As the first independent multi-issuer technology platform for structured notes and buffered ETFs, Halo offers clients a platform built on transparency, competition and price efficiency. Halo’s goal is to build a complete protective investing platform by democratizing access to these products previously only available to the ultra-wealthy and institutional investors.
Gregory FCA for AllianzIM