Pacer ETFs Launches New Fund to Magnify Dividend Yield Exposure of the Nasdaq-100 Index by 600%
September 24 2024 - 9:00AM
Business Wire
QSIX aims to deliver six times the dividend
yield of the Nasdaq-100, building off Pacer’s successful QDPL
ETF
Pacer ETFs, the leading U.S. issuer in free cash flow ETFs*,
adds to its successful Dividend Multiplier ETF Series with the
launch of the Pacer Metaurus Nasdaq-100 Dividend Multiplier 600 ETF
(Nasdaq: QSIX). This innovative ETF, launched in partnership with
Metaurus Advisors, LLC, is designed to provide investors with 600%
of the ordinary dividend yield of the Nasdaq-100, while maintaining
modestly reduced exposure to the overall performance of the index,
delivering a unique mix of growth potential and consistent
income.
“Investors are eager for income while aiming to capture the
long-term capital appreciation that an index like the Nasdaq
offers,” said Sean O’Hara, President at Pacer ETF Distributors.
QSIX aims to deliver six times the dividend yield of the
Nasdaq-100 without using leverage or options by separating the
Nasdaq-100’s return components into dividend cash flow and price
appreciation/depreciation. The fund reduces equity exposure to the
Nasdaq-100, reallocating the remaining capital to buy cash-like
instruments as collateral, enhancing dividend participation. These
components are then repackaged into the fund, offering six times
the yield with approximately 90% exposure to the index. The
transparent, straightforward approach makes it an attractive choice
for income-focused investors.
“We’ve seen increasing demand for QDPL, our dividend multiplier
ETF that aims to provide four times the dividend to the S&P
500, and we’ve been really pleased with our partnership with
Metaurus,” added Joe Thomson, Founder and President of Pacer. “With
QSIX we see an equally compelling opportunity that we did with
QDPL, to deliver investors and advisors an innovative way to
generate income while maintaining equity exposure to a core
index.”
To learn more about Pacer’s strategies and fund offerings, visit
paceretfs.com.
*Source: Bloomberg. Number one in net flows across free cash
flow based ETFs in the U.S. from 12/31/22-12/31/23.
Disclosures
Before investing you should carefully consider the Fund’s
investment objectives, risks, charges, and expenses. This and other
information is in the prospectus. A copy may be obtained by
visiting www.paceretfs.com or calling 1-877-577-2000.
Please read the prospectus carefully before
investing.
An investment in the Funds is subject to investment risk,
including the possible loss of principal. Pacer ETF shares may be
bought and sold on an exchange through a brokerage account.
Brokerage commissions and ETF expenses will reduce investment
returns. There can be no assurance that an active trading market
for ETF shares will be developed or maintained. The risks
associated with this fund are detailed in the prospectus and could
include factors such as concentration risk, currency exchange rate
risk, depositary receipt risk, derivatives risk, developed
countries risk, dividends risk, equity market risk, ETF risks,
foreign securities risk, futures contract risk, index provider
risk, large and mid-capitalization investing risk, new fund risk,
passive investment risk, tracking error risk, trading halt risk,
and/or special risks of exchange traded funds.
Nasdaq®, Nasdaq-100®, Nasdaq-100 Index®, and NDX® are registered
trademarks of Nasdaq, Inc. (which with its affiliates is referred
to as the “Corporations”) and are licensed for use by Pacer
Advisors, Inc. The Product(s) have not been passed on by the
Corporations as to their legality or suitability. The Product(s)
are not issued, endorsed, sold, or promoted by the Corporations.
THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH
RESPECT TO THE PRODUCT(S).
Dividends Risk: There can be no assurance that a dividend-paying
company will continue to make regular dividend payments. The
ability for a company to pay dividends is dependent on the economic
climate and the companies’ current earnings and capital resources.
Changes in economic conditions or a company’s earnings or financial
resources could cause a company to reduce its dividend payments or
suspend the payment of dividends altogether. The possibility that
such companies could reduce or eliminate the payment of dividends
in the future, especially if the companies are facing an economic
downturn, could negatively affect the Fund’s performance.
Metaurus Advisors LLC serves as investment sub-advisor to the
Fund.
NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED
Distributor: Pacer Financial, Inc., member FINRA, SIPC, an
affiliate of Pacer Advisors, Inc.
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version on businesswire.com: https://www.businesswire.com/news/home/20240924825986/en/
Media Contact Trevor Davis Gregory FCA for Pacer ETFs
443-248-0359 trevor@gregoryfca.com
Company Contact Ashlee Thomson for Pacer ETFs
610-981-6214 ashlee.thomson@pacerfinancial.com
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