TOPS Managed Risk Growth ETF Portfolio Class 2 (0P0000RYUC)

Overview

The fund operates with a fund-of-funds structure aiming to invest a majority of its assets in exchange-traded funds (ETFs). This strategic approach allows for a diversified investment portfolio, attempting to mitigate market risks through the use of exchange-traded futures contracts. These hedging strategies are designed to lower return volatility, making it a potentially safer investment for individuals looking to reduce the risk inherent in the financial markets. The fund's selection of ETFs spans across a wide range of asset classes, including government and corporate fixed income securities, common and preferred stocks, REITs (Real Estate Investment Trusts), and securities related to natural resources. This diversification across different types of investments and sectors aims to provide a balanced and robust portfolio for investors.

Products and Services

The fund offers a variety of investment opportunities through its curated selection of ETFs and use of futures contracts for hedging purposes, including:

• Exchange-Traded Funds (ETFs): The primary investment vehicles of the fund, ETFs, offer investors exposure to a wide range of asset classes. This includes:
  • Government Fixed Income Securities ETFs: These ETFs invest in debt securities issued by governments. They are generally considered safe investments and offer regular income through interest payments, making them an attractive option for risk-averse investors.
  • Corporate Fixed Income Securities ETFs: Focusing on debt securities issued by corporations, these ETFs offer potentially higher yields than government securities, albeit with a higher risk due to the credit risk of the issuing companies.
  • Common and Preferred Stocks ETFs: These ETFs invest in a broad range of equities, including both common and preferred stocks, providing growth opportunities through capital appreciation and dividends.
  • REITs ETFs: By investing in real estate investment trusts, these ETFs allow investors to gain exposure to the real estate market without the need to directly invest in physical properties.
  • Natural Resource-related Securities ETFs: These ETFs focus on commodities and natural resources, offering investors a hedge against inflation and a unique growth opportunity.
• Exchange-Traded Futures Contracts: To mitigate market risk and reduce return volatility, the fund employs futures contracts. These financial derivatives allow the fund to hedge against market downturns effectively, potentially stabilizing investment returns in turbulent market conditions.