Calamos Enhances Structured Protection ETFs with New Upside Cap Rates

Calamos Unveils Cap Rates for CPSR and CPNM ETFs

The recent announcement by Calamos regarding the upside cap rates for its CPSR and CPNM ETFs marks a significant development for investors seeking exposure to the S&P 500 and Nasdaq-100 while ensuring downside protection. The Calamos S&P 500 Structured Alt Protection ETF (CPSR) has set its upside cap rate at an attractive 7.63% for the upcoming one-year outcome period. Meanwhile, the Calamos Nasdaq-100 Structured Alt Protection ETF (CPNM) boasts an even higher cap rate of 8.17%, offering appealing investment opportunities.

Investment Features of CPSR and CPNM

Both CPSR and CPNM provide a unique offering by combining Calamos' extensive expertise in alternatives, risk management, and options investing with a liquid, cost-efficient ETF structure. This solid foundation is designed to safeguard investors against potential market downturns while providing a chance for capital appreciation.

Understanding the One-Year Outcome Period

The one-year outcome framework is crucial for investors. During this period, the ETFs are engineered to deliver 100% downside protection assuming shares are held for the entire duration. This structure is especially appealing in today's fluctuating market, providing a safety net for investors wary of volatility.

Benefits of Holding Beyond One Year

For long-term investors, holding these ETFs beyond one year can offer remarkable tax benefits. Gains accrued in the ETFs grow tax-deferred, and if held for longer than one year, they are taxed at long-term capital gain rates. This tax efficiency can effectively enhance an investor's overall returns.

Comprehensive Overview of Calamos Structured Protection ETFs

The Calamos Structured Protection ETFs series stands out for its unique design, offering monthly entry points for investors aiming for capital protection combined with growth. This ensures that financial advisors have access to diverse, strategically timed growth opportunities tied to leading US equity benchmarks.

Investment Strategy and Cap Structure

One of the notable aspects of these ETFs is how their cap rates are determined. The cap rates for the CPSR and CPNM are based on prevailing market conditions, modified bi-annually. This dynamic nature allows them to align more closely with investor expectations and market trends, making the ETFs more adaptable in various market scenarios.

About Calamos Investments

Calamos Investments is recognized globally as a leader in alternative investments, showcasing a diverse suite of strategies including but not limited to equity, fixed income, and private credit investments. With over $41 billion in assets under management, including a significant portion allocated to liquid alternatives, Calamos caters to a wide array of clients from financial advisors to large pension funds.

Client Focus and Global Reach

Headquartered in the Chicago metropolitan area, Calamos continues to expand its reach with offices in key financial hubs such as New York City and San Francisco. This strategic positioning enables the firm to stay connected with clients and market dynamics, ensuring they offer top-tier service and solutions.

Conclusion

As we move forward, Calamos’ innovative approaches in structured protection through ETFs illustrate its commitment to providing solid financial products that align with investor needs. The CPSR and CPNM ETFs, with their competitive cap rates and downside protection features, are set to attract both seasoned and new investors looking for stability and growth.

Frequently Asked Questions

What are the new cap rates for Calamos ETFs CPSR and CPNM?

The new cap rates are 7.63% for the CPSR ETF and 8.17% for the CPNM ETF.

How do these ETFs provide downside protection?

Both ETFs offer 100% downside protection if held through the entire one-year outcome period.

What are the tax advantages of holding these ETFs longer than one year?

Gains grow tax-deferred and can be taxed at long-term capital gains rates if held for over one year.

Where is Calamos Investments headquartered?

Calamos Investments is headquartered in the Chicago metropolitan area.

What is the overall strategy for the Structured Protection ETFs?

The strategy focuses on providing capital protection while allowing for potential growth tied to major equity benchmarks.

About The Author

Greetings, I'm 32-year-old author and financial specialist Evelyn Baker. My introduction into the financial industry started with an economics degree and continued with a wealth of experience in wealth management and financial consulting. My great passion over the years has been assisting people and companies in making wise, well-informed decisions to reach their financial objectives.

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