AllianzIM U.S. Equity 6 Month Floor5 Apr/Oct ETF (FLAO) Stock Price, Quote, News & History | Benzinga

The Fund seeks to match the share price returns of the SPDR S&P 500 ETF Trust (the Underlying ETF) (i.e., the market price returns of the Underlying ETF), at the end of a specified six-month period, from April 1 to September 30 or October 1 to March 31, as described below (the Outcome Period), subject to an upside maximum percentage return (the Cap) and providing downside protection with a Floor limiting losses in the Fund to a maximum loss of 5% (the Floor). The Fund's intended return measured across different market conditions (e.g., rising or declining markets) is referred to as outcomes in this prospectus. The Underlying ETF's share price returns reflect the price at which the Underlying ETF's shares trade on the secondary market (not the Underlying ETF's net asset value). Under normal market conditions, the Fund invests at least 80% of its net assets in instruments with economic characteristics similar to U.S. equity securities. Specifically, the Fund intends to invest substantially all of its assets in FLexible EXchange Options (FLEX Options) that reference the Underlying ETF. FLEX Options are customized equity or index options contracts that trade on an exchange, but provide investors with the ability to customize key contract terms like exercise prices, styles and expiration dates. The Fund may purchase and sell a combination of call option contracts and put option contracts. A call option contract is an agreement between a buyer and seller that gives the purchaser of the call option contract the right, but not the obligation, to buy, and the seller of the call option contract (or the writer) the obligation to sell, a particular asset at a specified future date at an agreed upon price (commonly known as the strike price). A put option contract gives the purchaser of the put option contract the right, but not the obligation, to sell, and the writer of the put option contract the obligation to buy, a particular asset at a specified future date at the strike price.