SIXP vs ZALT

SIXPBAllianzIM U.S. Equity 6 Month Buffer10 Mar/Sep ETF

ZALTAInnovator U.S. Equity 10 Buffer ETF - Quarterly

In short

SIXP Ten percent of the downside absorbed, the upside capped, and the whole deal re-struck every six months instead of once a year. SIXP is the March/September dial in AllianzIM's semiannual buffer lineup.

ZALT The defined-outcome trade on a three-month clock: ZALT follows SPY up to a cap and buffers the first 10% of a decline, then resets both every quarter. Four fresh caps a year, at a fee under the shallow-buffer median.

Stated mandate

SIXP The Fund is designed to match the share-price return of the SPDR S&P 500 ETF Trust at the end of each six-month Outcome Period, subject to an upside Cap. It also seeks to absorb the first 10% of the reference ETF’s losses.

ZALT The fund seeks to follow SPY's return up to a predetermined cap while providing a 10% downside buffer over each three-month outcome period. It may be held indefinitely, with the defined outcomes resetting at the end of each period.

Why people hold it

• SIXP Absorbs the first 10% of the reference S&P 500 ETF's decline over each six-month outcome period, with the upside capped.
• Resets twice a year, in March and September, so the cap is re-struck against fresher pricing more often than in a standard 12-month buffer fund.
• 0.74% a year, a shade under the typical fee among shallow-buffer funds.
• A 1940 Act fund holding its own options package rather than a bank note, and it sits in the upper half of a crowded shallow-buffer field.

• ZALT Resets on a quarterly clock: a new cap is set the first day of each calendar quarter and the 10% buffer starts over. Can be held indefinitely, no rolling into a new ticker.sec.govcboe.com
• At 0.69% it undercuts the going rate for 10% buffer funds on the S&P 500, where peers like SIXZ, JULT and BJUN charge 0.74% to 0.79%.
• The cushion is built from FLEX options on SPY itself, so the thing you are hedged against is the same fund most investors already watch.sec.gov
• Sits among the stronger implementations in its shallow-buffer peer group on cost and ease of trading.

Worth knowing

• SIXP The cap is the price of the cushion, and each new cap is set at the reset, moving with volatility and rates. Enter mid-period and your cushion and ceiling differ from the stated terms.
• It targets the reference ETF's share-price return, so dividends aren't part of the deal, and this fund hasn't been paying distributions.
• A small, lightly traded fund next to the biggest buffer names, so spreads can be wider.

• ZALT Three months of upside buys a lower ceiling. Each quarter's cap is priced off three-month options, so it lands well below what a 12-month buffer fund can offer.sec.gov
• Buy mid-quarter and you inherit whatever cap and buffer are left, not the full 10%. The prospectus says so plainly.sec.gov
• The fee comes out of the cushion: with the 0.69% fee counted, the prospectus puts the net buffer at 9.82% per period. No distributions so far, so return shows up in price.sec.gov

Full SIXP profile⁠

Full ZALT profile⁠