FT Vest Laddered Autocallable Barrier & Income ETF (ACYN) Stock Price, Quote, News & History | Benzinga

The Fund seeks to achieve its investment objective by entering into swap agreements or option contracts structured similarly to swap agreements (collectively, hereinafter referred to as swap agreements or swaps) that seek to deliver a return reflecting the performance of a laddered portfolio of theoretically created financial instruments designed to replicate the defined return characteristics of autocallable yield notes (each such theoretical financial instrument, a Synthetic Autocallable Contract). The term laddered portfolio refers to the Fund seeking to maintain on a recurring basis exposure to a diversified series of Synthetic Autocallable Contracts that each have a unique combination of maturity and observation dates (as defined below). Such laddering is achieved by rolling (i.e., replacing) the Synthetic Autocallable Contracts upon their call or maturity into new Synthetic Autocallable Contracts to allow the Fund to maintain the staggered investment time periods to which it is exposed and thereby mitigate the risks associated with exposure to only a single time period. The rolling of Synthetic Autocallable Contracts into new contracts with new maturity and observation dates (as defined below) results in the reset of coupon payment amounts, coupon and maturity barrier levels, and initial values of the underlying indices or exchange-traded funds (each, as defined and discussed below) to be commensurate with then-existing market conditions. The costs under the swap agreements for rolling will impact the coupon payment rates of the new contracts.