QJUN Profile
The FT Cboe Vest Nasdaq-100 Buffer ETF - June is designed to offer investors exposure to the performance of the Invesco QQQ TrustSM, Series 1, through a strategy involving FLEX Options. Under typical market conditions, the fund will allocate nearly all of its assets to FLEX Options that reference the price performance of this underlying ETF. FLEX Options are distinctive in that they are customizable equity or index option contracts traded on exchanges, allowing investors to tailor critical contract elements such as strike prices, option styles, and expiration dates to fit specific investment goals.
This ETFs investment strategy focuses on leveraging the unique attributes of FLEX Options to provide a tailored exposure to the Nasdaq-100 Index. By utilizing these customizable options, the fund aims to achieve a performance profile that aligns with its investment objectives. The use of FLEX Options allows for a sophisticated approach to capturing the performance of the underlying ETF while offering the flexibility to adjust contract terms according to market conditions and investor preferences.
The underlying ETF, Invesco QQQ TrustSM, Series 1, tracks the performance of the Nasdaq-100 Index, which includes 100 of the largest non-financial companies listed on the Nasdaq Stock Market. By investing in FLEX Options linked to this ETF, the fund seeks to provide targeted exposure to the performance of this technology-heavy index, which is known for its high growth potential and innovative companies. The use of FLEX Options is intended to enhance the fund's ability to manage risk and optimize returns relative to the underlying index.
Investors should be aware that the FT Cboe Vest Nasdaq-100 Buffer ETF - June is non-diversified, meaning its investments are concentrated in a specific area of the market. This concentration can lead to increased volatility and risk. Additionally, while FLEX Options offer customization and flexibility, they also involve complexities that can affect liquidity and pricing. The funds strategy is aimed at balancing these factors to achieve its investment objectives, but investors should consider their own risk tolerance and investment goals before investing.
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