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Innovator Readies April Series of Defined Outcome S&P 500 Buffer ETFs

Traders Magazine Online News, March 28, 2019

John D'Antona Jr.

Innovator Capital Management, LLC (Innovator) announced today the anticipated upside cap ranges and return profiles for the April Series of Innovator S&P 500 Buffer ETFs, scheduled for Cboe listing on April 1, 2019.

The Innovator S&P 500 Buffer ETFsm suite seeks to provide investors with exposure to the S&P 500 Price Return Index (S&P 500) up to a Cap, with downside buffer levels of 9%, 15%, or 30% over an Outcome Period of approximately one year. The ETFs reset annually and can be held indefinitely.

Return profiles for the Innovator S&P 500 Buffer ETFsm April Series, as of 3/18/19

Ticker      /  Name

Buffer Level

Cap Range*

Outcome Period


Innovator S&P 500
Buffer ETF


13.91 - 18.51% (gross)
13.12 - 17.72% (net of management fee)

12 months
4/01/19 - 3/31/20


Innovator S&P 500
Power Buffer ETF


9.26 - 11.05% (gross)
8.47 - 10.26% (net of management fee)

12 months
4/01/19 - 3/31/20


Innovator S&P 500
Ultra Buffer ETF

30.00% (-5% to -35%) 

8.96 - 10.74% (gross)
8.17 - 9.95% (net of management fee)

12 months
4/01/19 - 3/31/20


* The Cap Ranges above are based on the highest and lowest Cap as illustrated by the Funds’ strategy from 1/31/19 - 3/1/19 and are shown gross and net of the 0.79% management fee. The actual Cap for each Fund will be set at the beginning of the Outcome Period, and is dependent upon market conditions at that time. As a result, the Cap set by each Fund may be higher or lower than the Cap Range. “Cap” refers to the maximum potential return, before fees and expenses and any shareholder transaction fees and any extraordinary expenses, if held over the full Outcome Period. “Buffer” refers to the amount of downside protection the fund seeks to provide, before fees and expenses, over the full Outcome Period. Outcome Periodis the intended length of time over which the defined outcomes are sought. Upon fund launch, the Caps can be found on a daily basis via BAPR, PAPR and UAPR are not yet available for investment.

“We believe the Innovator Defined Outcome ETFsm suite is solving a key challenge for millions of Americans by providing the ability to stay invested in the market, knowing they have both upside growth potential with specific built-in downside buffer levels,” said Bruce Bond, CEO of Innovator ETFs. “The defined outcome investment space has historically been dominated by bank and insurance products. Innovator has pioneered the delivery of defined investment outcomes through the benefit-rich ETF structure, providing investors access to specific payoff profiles in a way that eliminates corporate credit risk, and is more liquid, transparent, and cost-effective than ever before.”

“No other ETFs in the market today seek to offer investors defined exposures to the S&P 500, where the downside buffer level, upside growth potential, and outcome period can all be known, prior to investing,” added John Southard, Innovator’s Chief Investment Officer. “Our Defined Outcome S&P 500 Buffer ETFs represent a new category of market exposure that can help investors more effectively manage through volatile markets.”

The Innovator S&P 500 Buffer ETFSM suite is the only ETFs in the world to provide investors with S&P 500 performance and defined downside buffers. The ETFs provide defined outcomes over one-year periods, are rebalanced annually, and can be held indefinitely. Innovator S&P 500 Buffer ETFs, with over $379 million in AUM as of March 15, 2019, are among the fastest growing new category of ETFs in the market today.

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