This ETF Keeps Your Portfolio From Singing Its SWAN Song

Core Insights - The Amplify BlackSwan Growth & Treasury Core ETF (SWAN) provides insurance-like protection for portfolios against major market downturns, referred to as "black swan events" by finance academician Nassim Taleb [1] - SWAN aims to balance risk and reward by maintaining a traditional 60-40 split, investing 90% in U.S. Treasury securities for protection and 10% in SPDR S&P 500 ETF (SPY) for upside participation [2][4] Performance Analysis - During the "Liberation Day" sell-offs, the S&P 500 experienced a 15.28% loss on April 8, while SWAN only lost 5.87%, demonstrating its ability to mitigate volatility [3] - Following the downturn, SWAN gained almost 12% year-to-date, showcasing its capacity to recover alongside the broader market [3] Investment Strategy - SWAN tracks the S-Network BlackSwan Core Index and employs a strategy that combines safe-haven U.S. Treasury securities with SPY options to provide both protection and upside potential [4][5] - The fund's 30-day SEC yield was reported at 2.92% as of September 30, offering a quarterly distribution in addition to capital appreciation [5] Portfolio Flexibility - SWAN allows investors to create a balanced portfolio that captures upside while protecting against downside risks, leveraging the flexibility and tax efficiency of an ETF structure [6]