Calamos Investments Introduces New Structured Protection ETFs Offering Captivating Returns and Full Downside Security

Introduction

Calamos Investments, a well-known player in the investment management sector, has announced the launch of two new financial products designed for risk-averse investors looking to gain exposure to major stock indices. The upcoming Calamos S&P 500® Structured Alt Protection ETF® (CPSU) and the Calamos Nasdaq-100® Structured Alt Protection ETF® (CPNJ) are aimed at providing robust protection against financial downturns, combined with lucrative potential returns. CPSU is scheduled to debut on June 2, 2025, whereas CPNJ is set to reset on the same day. Both funds are structured to offer a blend of growth and security, ultimately appealing to a wide array of investors.

Key Features of CPSU and CPNJ

- CPSU Details: The Calamos S&P 500® Structured Alt Protection ETF is estimated to provide an upside cap range of 6.69% to 7.30% over a one-year period. This means that even in a volatile market, investors can anticipate a capped return, while enjoying 100% protection against losses if the investment is held for the entire outcome period, from June 2, 2025, to May 29, 2026.
- CPNJ Highlights: Similarly, the Nasdaq-100® Structured Alt Protection ETF is expected to have an estimated upside cap range of 7.10% to 8.02%. This ETF is also positioned to provide full downside protection throughout the one-year duration, ensuring a secure investment avenue for those wary of market fluctuations. Both ETFs will offer a 0.69% annual expense ratio, making them cost-effective options in the ETF space.

Investment Strategy and Management

The introduction of these ETFs aligns with Calamos Investments' longstanding expertise in alternatives and risk management. Portfolio management will be handled by Co-CIO Eli Pars alongside the Alternatives Team, who will oversee the funds and make investment decisions aimed at achieving the outlined goals. Investors can rest assured knowing that the firm brings decades of experience in structured products and alternative investments, building a framework for client success under varied market conditions.

Tax Benefits

Both CPSU and CPNJ also present favorable tax implications for investors. Gains in these ETFs grow tax-deferred, subject to long-term capital gain tax rates if held for more than one year. This inherently adds another layer of appeal for investors with a strategic, long-term outlook.

Signing Off

In conclusion, the launch of the CPSU and CPNJ ETFs underscores Calamos Investments' commitment to providing innovative and secure investment options while navigating the complexities of the stock market. With their caps on returns and full downside protection, these new ETFs not only safeguard but also incentivize potential growth for institutional investors and individuals alike. As June 2025 approaches, investors will want to keep a keen eye on these instruments as viable options for their portfolios.

Investing in any ETF or structured investment carries inherent risks, and it’s essential for individuals to assess the associated risks before making investment decisions.