Cambria Global Tail Risk ETF (FAIL)

Overview

The aforementioned company offers a diversified bond portfolio aimed at balancing risk and reward under normal market conditions. By investing a significant portion of its assets in both U.S. and ex-U.S. sovereign bonds, the company caters to investors looking for a blend of investment grade, intermediate, and even non-investment grade options. This strategy is designed to attract a diverse investor base, including those interested in developed as well as emerging market governments. Furthermore, the distinct approach of allocating funds for the purchase of put options indicates a proactive risk management strategy, intending to safeguard the portfolio against market downturns.

Products and Services

• Intermediate U.S. Treasuries and TIPS

  This product focuses on investment grade, intermediate-duration U.S. Treasury securities, including Treasury Inflation-Protected Securities (TIPS). These offerings are designed for investors seeking stable returns and protection against inflation, characteristic of U.S. government bonds.

• Ex-U.S. Sovereign Bonds

  The fund diversifies its portfolio by investing in sovereign bonds from outside the United States. This includes bonds from both developed and emerging markets, ranging from investment grade to non-investment grade. This broad spectrum allows investors to engage in opportunities across global markets, enhancing potential returns while spreading risk.

• Put Options Strategy

  Approximately one percent of the fund's total assets are allocated monthly to purchase put options. This strategy is implemented as a form of insurance against significant market declines. By investing in put options, the fund aims to limit potential losses, offering an added layer of security for investors concerned about market volatility.