The downside-protected portfolio lets you capture the upside potential of the S&P 500 while protecting against downside losses (in USD). The portfolio is constructed with a series of innovative ETFs, which make use of options strategies to provide a high level of protection against downside losses.

As the S&P 500 goes down, the losses of the portfolio will be limited to approximately the “est. max loss” level. This keeps you shielded from major losses even as the market falls. To keep the cost of this protection low, we introduce a "current upside cap" on returns. This means that as the S&P 500 trends higher, the portfolio returns will initially be limited to the cap level. To help you get the most out of your investment, we periodically revise the cap level upwards to lock in gains and keep the upside growing.

Imagine a Downside Protected Portfolio with an est. max loss of 5% and a current upside cap of 12%. Here are three hypothetical scenarios of how this portfolio may perform:

• In a challenging market, say the S&P 500 drops by 20%. The portfolio would typically incur a loss of around 5%, protecting your investment from further declines.
• In a positive market, say the S&P 500 gains 10%, which is within the upside cap of 12%. Your portfolio would potentially be up by 5%, and moving towards the upside gains in the index.
• In a booming market, say the S&P 500 soars above 20%. Your portfolio would likely achieve the upside cap of 12% (subject to periodic re-optimisation - hyperlink).