ETF CPSM: A 9 Percent Return & Guaranteed Capital Protection?

There’s a new ETF sheriff in town and it’s promising to pay a 9 percent return with full capital downside protection. If you want to watch an explanation of how this works check out the video clip below from CNBC.

If you prefer to read about the new ETF, there is a great article here and the press release from Calamos is here.

May 1 is Key

If you want to invest in this ETF the best thing to do is to buy into it on Wednesday May 1st because that’s the day the option are optimized for capital protection.

I will likely invest in the ETF and I’ll write a follow up article if I do and periodically post on the progress. As I wrote last week, I already bought PUT options on SPY so I have some downside protection already covered but to guarantee a 9 percent capped return and 100% downside protection is really intriguing.