TOPS Managed Risk Balanced ETF Portfolio Class 2 (0P0000RYU7)

Overview

The fund is designed to provide a diversified investment solution by employing a fund-of-funds structure. This approach involves investing a significant portion of its assets, under normal market circumstances, in a variety of exchange-traded funds (ETFs). To manage market risk and aim to reduce the volatility of returns, the fund also makes use of exchange-traded futures contracts. This strategy allows the fund to offer its investors exposure to a broad spectrum of asset classes through a single investment, catering to those looking for diversified market participation with potentially moderated risk levels.

Products and Services

The fund's investment offerings are structured around a core of ETFs, each targeting specific asset classes to provide comprehensive market coverage. Each component of the fund's portfolio is designed to contribute to its overall risk-return profile:

• Government Fixed Income Securities ETFs: These ETFs invest in debt securities issued by governments. Aimed at investors seeking stable returns with relatively low risk, they offer exposure to government bonds, treasury bills, and other government-backed securities.
• Corporate Fixed Income Securities ETFs: Focused on corporate debt, these ETFs offer potentially higher yields than government securities by investing in bonds issued by corporations. They cater to investors looking for a balance between risk and return within the fixed income space.
• Common and Preferred Stocks ETFs: By investing in ETFs that hold common and preferred shares, the fund offers access to the equity markets. This allows investors to participate in the growth potential of companies across various sectors, contributing to the fund's performance through capital appreciation and dividends.
• REITs ETFs: Real Estate Investment Trusts (REITs) ETFs provide exposure to the real estate sector by investing in trusts that own, operate, or finance income-producing real estate. They are suited for investors seeking income through dividends, along with potential for moderate growth.
• Natural Resource-Related Securities ETFs: These ETFs focus on investments in companies and assets related to natural resources such as energy, metals, and agriculture. Targeted at those interested in sector-specific dynamics and the potential for high returns associated with commodity-based investments, these ETFs add a distinct element of diversification to the fund's portfolio.