BALT

innovator Defined Wealth Shield ETF

The Innovator Defined Wealth Shield ETF (BALT) is designed to be an equity-based defensive investment that seeks to offer a built-in buffer against downside losses while providing upside return potential, to a cap, over each quarterly outcome period.

Key Attributes

An equity‑based defensive solution
Holds no bonds and carries no interest rate or credit risk¹
Unique portfolio applications
Target 20% buffer (each quarter)

ETF CONSTRUCTION

Portfolio of 3-mo options on S&P 500 ETF
Target 20% buffer
Upside, to a cap
Quarterly reset of buffer and cap

INVESTORS CAN DIVERSIFY
THEIR DEFENSIVE ALLOCATIONS
BY INCORPORATING BALT

ADD BALT TO YOUR 60/40 ALLOCATION

PORTFOLIO ALLOCATION IDEAS

How can investors address the challenge of maintaining a defensive stance but without the risks of bonds? BALT may be a solution.

Upside caps are driven by volatility and interest rates. As volatility and rates increase, BALT's upside potential may also increase, making this a potential defensive solution across a range of interest rate environments.

Behavioral

Get clients over the behavioral hurdle of investing in a frothy market.

NO INTEREST
RATE RISK

Many investors have shortened duration to mitigate interest rate risk. All else equal, higher interest rates have the potential to generate higher upside caps for BALT.

DEFENSIVE
INVESTMENT

The ETF has no credit risk, and its target quarterly buffer of 20% may help to buffer against downside losses.

DIVERSIFY

The ETF can help diversify a portfolio of bonds while maintaining a heightened focus on downside risk management.

Loss of investment principal in BALT is possible. By targeting a 20% buffer on a quarterly basis, BALT's quarterly cap will be lower than caps on ETFs with 1-year outcome periods.

Why a 20% Buffer?

S&P 500 3-Month Returns
1958-2021

S&P 500 Negative
3-Month Returns

97% OF 3-MONTH
LOSSES WERE LESS
THAN 20%

Historical BALT caps

Past performance is not indicative of future results.

*The estimated average cap of 2.17% represents an average of estimated caps, as illustrated by the funds strategy, based upon the 5 previous trading days, as of 6/27/2022. It does not represent the actual cap that will be set on the date of rebalance, which may fall outside the stated cap ranges, due to extreme market volatility. The estimated cap range of 1.48% - 2.39% is based on the highest and lowest Cap as illustrated by the Funds' strategy from 5/23/2022 - 6/22/2022 and is shown gross of the fund's management fee.