4 min readBy Ron Koren ETF Insider
PSCF VS XLF
Compare the PSCF and XLF ETFs with our thorough analysis. Dive into the performance metrics, underlying assets, and investment strategies.
The issuer of the FJUN ETF is PDR Services, LLC (PDR), the sponsor of the SPDR® S&P 500® ETF Trust, which serves as the underlying reference for the FJUN ETF. PDR is responsible for managing the investment strategy and operations of the SPDR® S&P 500® ETF Trust, which utilizes a replication strategy to invest in a portfolio of common stocks that closely mirrors the composition and weightings of the S&P 500® Index..
The Fidelity MSCI June 2023 ETF (FJUN) offers investors the potential for dividend income, although it primarily tracks the performance of the MSCI USA Index. Dividend distributions from FJUN are subject to the eligibility criteria and dividend policies of the underlying index constituents. Typically, dividends from this ETF are distributed quarterly, aligning with the index's dividend payment schedule. Investors seeking a balance between capital appreciation and dividend returns may consider FJUN as a suitable investment option.
FJUN, also known as the Target Outcome Strategies ETF, primarily tracks the price performance of the SPDR® S&P 500® ETF Trust (the Underlying ETF) through its strategic use of Flexible Exchange® Options (FLEX Options). These FLEX Options are customized equity or index option contracts that enable investors to tailor key contract terms like exercise prices, styles, and expiration dates. The Underlying ETF seeks to replicate the price and yield performance of the S&P 500® Index, making FJUN a vehicle for investors looking to participate in the S&P 500® without directly holding its underlying assets. FJUN utilizes a target outcome strategy to achieve predetermined investment outcomes based on the performance of the Underlying ETF over an approximate one-year period. This strategy includes a buffer against the first 10% of Underlying ETF losses and a cap of 18.25% (before fees and expenses). These levels are adjusted for the Fund's fees, expenses, and other factors, with the cap representing the maximum return investors can achieve within a Target Outcome Period. FJUN offers a unique way to potentially gain exposure to the S&P 500® while providing certain downside protection and upside participation, making it an attractive option for investors seeking such a balance.
The correlation aspect of the FJUN ETF, which seeks to achieve its investment objective by investing in FLEX Options referencing the price performance of the SPDR® S&P 500® ETF Trust (SPY), is essential in understanding its behavior in relation to the broader U.S. equity market. Given that FJUN's performance is closely tied to SPY, it is expected to exhibit a high correlation with the S&P 500 Index. This strong correlation can make FJUN a valuable tool for investors looking for targeted exposure to the S&P 500 with specific risk management features. For deeper insights into FJUN's correlation and how it can fit into investment strategies, our tool, ETF Insider, offers a web app with simple visualization tools to help investors study correlations and understand the overlap with other US ETFs, providing valuable data for informed decision-making.
The FJUN ETF, known as the Target Outcome Strategies ETF, operates primarily in the options market with a focus on the performance of the SPDR® S&P 500® ETF Trust as its underlying asset. The ETF utilizes FLEX Options to implement a target outcome strategy designed to offer investors a buffer against the first 10% of losses in the Underlying ETF while capping potential gains at 18.25% for a defined target outcome period. These strategies aim to provide investors with a unique risk-reward profile, allowing for participation in market upside while providing a measure of downside protection. However, it's important for investors to consider that the cap and buffer levels may change with each new target outcome period, and results can vary based on market conditions at the time of investment.
The exposure characteristics of the Fidelity Freedom Blend Index ETF (FJUN) are primarily focused on providing investors with a diversified approach to U.S. fixed income securities. This ETF aims to track the performance of the Fidelity Freedom Blend Index, which is designed to represent a blend of investment-grade and high-yield corporate bonds. FJUN's exposure covers a broad spectrum of the fixed income market, including both short-term and long-term bonds, offering investors access to various maturities and credit qualities within the U.S. corporate bond universe. To explore this ETF's exposure in greater detail, you can utilize the ETF Insider web app, which offers comprehensive insights, visualizations, and correlations for a deeper understanding of FJUN's portfolio composition and market positioning.
ETF Insider is a data-driven portfolio analytics and optimization platform that introduces a more efficient and practical way to visualize, analyze and optimize portfolios.
Rather than focusing on the surface-level attributes of ETFs and Mutual Funds, ETF Insider goes deeper by examining the underlying holdings of exchange traded products.
By organizing and structuring that data, investors can easily navigate within their overlapping layers.
This innovative perspective combined with modern data visualization and modeling tools, provides an entirely new approach to portfolio optimization that can quickly expose both portfolio inefficiencies and opportunities.
4 min readCompare the PSCF and XLF ETFs with our thorough analysis. Dive into the performance metrics, underlying assets, and investment strategies.
5 min readThe FJUN ETF is a specialized investment fund that focuses on global companies in the relevant sectors. This exchange-traded fund offers investors exposure to a diverse range of innovative and cutting-edge companies engaged in advancements in the industry. Discover the potential growth opportunities and risks associated with investing in this dynamic sector through the FJUN ETF.
4 min readUnlocking Investment Opportunities: Exploring the PGRO ETF. Learn about the latest exchange-traded fund (ETF) that promises to offer diverse investment options and potentially attractive returns. Discover the features and benefits of the PGRO ETF in this comprehensive overview.
ETF Insider is a novel portfolio optimization tool that uses the power of data visualization to gain insight into portfolio compositions, concentration risks, portfolio efficiency and more. Complex financial data can be transformed into visually appealing and easily digestible graphs and charts, allowing investors to quickly identify trends and make well-informed investment decisions. Not only does this save time, but it also increases the accuracy and effectiveness of portfolio management.
