Pacer Trendpilot US Bond ETF (PTBD)

Overview

The Pacer Trendpilot US Bond ETF (PTBD) employs a trend-following strategy to provide exposure to US investment-grade bonds while seeking to limit downside risk. It uses a proprietary algorithm to determine whether to be invested in US Treasury bonds, cash equivalents, or a combination of both, based on the 200-day simple moving average of the Bloomberg Barclays US Aggregate Bond Total Return Index.

Reputation and Reliability

Pacer ETFs is known for its rules-based, index-tracking ETFs and has a solid reputation for innovation and transparency.

Management Expertise

Pacer ETFs has a team of experienced investment professionals focused on developing and managing strategy-driven ETFs.

Goal

The investment seeks to track the price and yield performance, before fees and expenses, of the Pacer Trendpilot US Bond Index.

Investment Approach and Strategy

Strategy: The ETF tracks the Pacer Trendpilot US Bond Index. This index uses a trend-following strategy based on the 200-day simple moving average of a bond market index to determine asset allocation.

Composition The ETF's holdings primarily consist of U.S. Treasury bonds and cash equivalents, with the allocation shifting based on the trend-following algorithm.

Market Share: Data Unavailable.

Total Net Assets (AUM): 119243154.36

Key Competitors

• iShares Core U.S. Aggregate Bond ETF (AGG)
• Vanguard Total Bond Market ETF (BND)
• Schwab US Aggregate Bond ETF (SCHZ)

Competitive Landscape

The bond ETF market is highly competitive, with several large, established players. PTBD differentiates itself through its trend-following strategy, which aims to reduce downside risk but may also limit upside potential. Competitors like AGG and BND offer broad market exposure at low costs, while PTBD's active strategy results in a higher expense ratio. PTBDu2019s success hinges on the effectiveness of its trend-following model.

Historical Performance: Historical performance data is needed for accurate representation. Please refer to official sources like Pacer ETFs or financial data providers.

Benchmark Comparison: Benchmark comparison requires historical performance data against the Pacer Trendpilot US Bond Index or a relevant bond market index.

Expense Ratio: 0.6

Average Trading Volume

Average trading volume data is not available but can be found on major financial websites.

Bid-Ask Spread

Bid-ask spread information is needed for accurate response but can be found on major financial websites.

Market Environment Factors

PTBD's performance is influenced by interest rate movements, economic growth, and investor sentiment towards bonds. Rising interest rates can negatively impact bond values, while economic uncertainty may increase demand for bonds as a safe haven asset.

Growth Trajectory

The growth trajectory depends on the effectiveness of the trend-following strategy in various market conditions and investor demand for risk-managed bond exposure. Changes in strategy and holdings are dependent on the algorithm's signals based on market trends.

Competitive Edge

PTBD's competitive advantage lies in its unique trend-following strategy, which aims to protect investors from downside risk in falling bond markets. This strategy differentiates it from traditional bond ETFs that passively track an index. The fund's rules-based approach provides transparency and can appeal to investors seeking a systematic approach to bond investing. However, the higher expense ratio compared to passively managed bond ETFs is a potential disadvantage.

Volatility

Historical volatility needs to be calculated. Please refer to official sources like Pacer ETFs or financial data providers.

Market Risk

PTBD is subject to interest rate risk, credit risk (if the underlying bonds have credit risk), and the risk that the trend-following strategy may not perform as expected. The strategy may underperform in rapidly rising bond markets as it may be slow to fully invest in bonds.

Ideal Investor Profile

PTBD is suitable for investors seeking a risk-managed approach to bond investing, particularly those concerned about potential downside in a rising interest rate environment.

Market Risk

PTBD may be suitable for long-term investors seeking to mitigate bond market risk, but is not ideal for active traders due to the rules-based strategy.

Pacer Trendpilot US Bond ETF (PTBD) employs a unique trend-following strategy to provide exposure to US investment-grade bonds. The fund utilizes a proprietary algorithm that shifts between U.S. Treasury bonds and cash equivalents based on the 200-day moving average. This strategy differentiates it from passively managed ETFs but comes at a higher expense ratio. It is best suited for risk-averse investors looking for downside protection in volatile bond markets.

Data Sources:

• Pacer ETFs website
• SEC Filings
• Bloomberg
• Morningstar

Disclaimers:

The data provided is for informational purposes only and should not be considered financial advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Market share data was unavailable at time of publication. Past performance is not indicative of future results.