- Simplify is a new ETF company that launched three similar but slightly different ETFs meant to hedge downside risk.
- The fund sponsor is attempting to capitalize on this trend toward trying to capture most of the upside of the equity market while limiting the downside risk.
- SPYC plays on the convexity of their strategy where the fund outperforms the S&P 500 during extreme market moves, both up and down.
- SPD is another version of SPYC without the upside outperformance but simply the S&P 500 with a market crash downside hedge.
- We will continue to watch these as they are too new to invest in today, but I'd like to get them on your radar screen.
For further details see:
Fund Spotlight: Simplicity US Equity PLUS Convexity (SPYC)