BALT vs DECW

BALTBInnovator Defined Wealth Shield ETF

DECWCAllianzIM U.S. Equity Buffer20 Dec ETF

In short

BALT Most buffer ETFs hand you a cushion once a year. BALT rebuilds a 20% one every three months: four fresh starts against S&P 500 drawdowns. The trade-off is that the cap resets with it, and it starts low.

DECW SPY's price move for a year, with the first 20% of losses absorbed and a ceiling on the upside. DECW is the December door in AllianzIM's Buffer20 ladder: the clock starts December 1, resets each November 30, and a fresh cap is set annually.

Stated mandate

BALT The fund seeks to track the return of SPDR S&P 500 ETF Trust (SPY), subject to a cap, while buffering investors against losses. It targets a 20% buffer during each three-month outcome period and resets quarterly.

DECW The Fund seeks to match the SPDR S&P 500 ETF Trust’s share-price return at the end of each one-year Outcome Period, subject to an upside Cap, while buffering the first 20% of losses. It implements this strategy mainly with FLEX Options referencing that ETF.

Why people hold it

• BALT Deep and short-dated: it targets a 20% buffer against losses in the S&P 500 ETF it references, over a three-month outcome period, then resets for the next quarter.innovatoretfs.com
• 0.69% a year, under the typical fee in its deep-buffer group, and it has been running the quarterly reset since launching in 2021.
• One of the larger funds doing 20% buffers on the S&P 500, and one of the strongest implementations in that peer group.

• DECW Deep end of the buffer world: the first 20 percentage points of the reference ETF's decline over the Dec 1 to Nov 30 period are absorbed, built with FLEX options rather than manager judgment.
• At 0.74%, it charges exactly the median fee for deep-buffer funds. You're not paying a premium for the December start date.
• One of twelve AllianzIM Buffer20 funds, one per starting month (MAYW, JUNW, AUGW and the rest), so start dates can be staggered across the calendar instead of concentrated in one.
• No mystery about the terms: outcome period dates, the cap and the buffer are posted daily on the fund's own website, before you commit.sec.gov

Worth knowing

• BALT A deep buffer over a short window buys a low ceiling. The cap is set fresh each three-month period, and it is far tighter than what annual buffer funds start with.
• The 20% cushion is measured from the start of each outcome period. Buy mid-quarter and the buffer and cap you actually own differ from the headline terms.innovatoretfs.com
• Cheaper 20% buffer options exist: PBFR at 0.50%, Pacer's Swan SOS Flex funds (PSFJ, PSFM) at 0.49%.

• DECW It targets the reference ETF's share-price return, not total return. Index dividends aren't part of the payoff, and income isn't what this structure is built to produce.
• The same 20% buffer sells cheaper in the neighborhood: PSFJ and PSFM at 0.49%, BALT at 0.69%.
• Thinly traded, so entry and exit costs deserve a look. The cap and buffer apply in full only from the December start to the November finish; mid-period buyers get different math.sec.gov

Full BALT profile⁠

Full DECW profile⁠