#United States #Chicago #Calamos Investments #SP 500 #Nasdaq-100

Introduction

Calamos Investments LLC, a prominent player in the field of alternative investment strategies, has recently unveiled details regarding its upcoming Structured Protection ETFs. These innovative exchange-traded funds aim to provide investors with exposure to the S&P 500 and Nasdaq-100 indices, all while ensuring complete downside protection over a one-year period. With the anticipated launch date set for March 3, 2025, many investors are curious about the key features and potential benefits of these financial products.

The ETFs in Focus

The two newly introduced ETFs are:
1. Calamos S&P 500® Structured Alt Protection ETF® – March (CPSR)
- Estimated Upside Cap Range: 7.29% to 7.65% over a one-year outcome period.
- Outcome Period: Covers from March 3, 2025, to February 27, 2026.
- Reference Asset: Price return of the SPDR® S&P 500® ETF Trust (SPY), based on the S&P 500® Index.
- Structured Protection: Offers 100% downside protection if held through the entire one-year outcome period.
- Annual Expense Ratio: 0.69%.

2. Calamos Nasdaq-100® Structured Alt Protection ETF® – March (CPNM)
- Estimated Upside Cap Range: 8.00% to 8.26% over a one-year outcome period.
- Outcome Period: Also spanning from March 3, 2025, to February 27, 2026.
- Reference Asset: Price return of Invesco QQQ Trust, Series 1, linked to the Nasdaq-100® Index.
- Structured Protection: 100% downside protection provided throughout the duration of the outcome period.
- Annual Expense Ratio: 0.69%.

Calamos’ Structured Protection ETFs series stands out as one of the most comprehensive offerings available. They allow financial advisors and investors to leverage capital-protected strategies tailored to major U.S. equity benchmarks, aligning with their investment objectives.

Investment Structure and Tax Benefits

Both ETFs offer a unique structure that not only mitigates risk but also provides potential growth during the specified outcome period. The tax implications of these ETFs are particularly appealing as gains within the funds grow tax-deferred. This means that if the investments are held for over a year, they will be subject to long-term capital gains tax, which is typically lower than short-term rates.

Key Benefits:

• - Capital Protection: Investors are assured that their capital will be protected from downside losses during the outcome period, giving them peace of mind.
• - Growth Potential: With pre-determined upside caps, investors can benefit from market gains while maintaining protections against adverse movements.
• - Flexibility: The Structured Protection ETFs reset annually, providing fresh caps and renewed protection against declines, making them adaptable to fluctuating market conditions.

Management and Transparency

Each ETF is managed by Co-CIO Eli Pars and Calamos’ Alternatives Team, reflecting deep expertise in alternative investment strategies. Furthermore, the firm maintains a commitment to transparency, offering detailed metrics on the performance and risk factors associated with these funds.

Investors will find significant value in the consistent updates and relevant information provided directly within the ETFs' online resources, ensuring they stay informed of any changes or developments.

Conclusion

Calamos Investments' new Structured Protection ETFs demonstrate an innovative approach to balancing risk and reward in investment portfolios. By offering a combination of downside protection and potential upside growth, these funds may serve as valuable additions to the strategies of both individual and institutional investors. As the launch date approaches, interest in these offerings is likely to grow, making it essential for investors to assess how these products can fit into their overall investment plans. For additional information, individuals are encouraged to explore Calamos’ range of options through their website and engage with their dedicated teams to enhance their investment decisions.

Learn more about the full suite of Calamos Structured Protection ETFs and consider how they can align with your investment goals today.