Calamos Investments LLC ("Calamos"), a leading alternatives manager, has revealed the estimated upside cap ranges for its upcoming Bitcoin Protection ETFs, designed to offer investors exposure to Bitcoin with structured downside protection. These ETFs are slated to launch on July 8, 2025, featuring varying levels of protection and cap ranges to cater to different risk appetites.
Key Features of Calamos Bitcoin Protection ETFs
1. Calamos Bitcoin Structured Alt Protection ETF® – July (CBOY)
- Downside Protection: 100%
- Estimated Cap Range: 9.0% - 11.0%
- Outcome Period: 1 year (July 8, 2025, to July 7, 2026)
- Reference Asset: CBOE Bitcoin US ETF Index
- Annual Expense Ratio: 0.69%
2. Calamos Bitcoin 90 Series Structured Alt Protection ETF® – July (CBXY)
- Downside Protection: 90%
- Estimated Cap Range: 24.0% - 28.0%
- Outcome Period: 1 year
- Reference Asset: CBOE Bitcoin US ETF Index
- Annual Expense Ratio: 0.69%
3. Calamos Bitcoin 80 Series Structured Alt Protection ETF® – July (CBTY)
- Downside Protection: 80%
- Estimated Cap Range: 43.0% - 48.0%
- Outcome Period: 1 year
- Reference Asset: CBOE Bitcoin US ETF Index
- Annual Expense Ratio: 0.69%
ETF Overview
| ETF Ticker | Protection Level | Cap Range | Outcome Period | Reference Asset | Expense Ratio |
|---|---|---|---|---|---|
| CBOY | 100% | 9.0%-11.0% | 1 Year | CBOE Bitcoin Index | 0.69% |
| CBXY | 90% | 24.0%-28.0% | 1 Year | CBOE Bitcoin Index | 0.69% |
| CBTY | 80% | 43.0%-48.0% | 1 Year | CBOE Bitcoin Index | 0.69% |
Benefits of Structured Protection ETFs
- Annual Resets: These ETFs reset yearly, providing refreshed upside caps and downside protection for each new outcome period.
- Tax Efficiency: Gains grow tax-deferred at long-term capital gains rates, offering potential tax alpha.
- Diverse Entry Points: Monthly launches allow advisors and investors flexibility in timing their investments.
👉 Learn more about Calamos’ Protected Bitcoin ETFs
Risks to Consider
- Capped Upside: Returns cannot exceed the predetermined cap, limiting profit potential during bull markets.
- Market Volatility: Protection levels are only guaranteed if shares are held for the entire outcome period.
- Liquidity Risk: FLEX Options used in these ETFs may be less liquid than standard options.
FAQs
1. What is the minimum investment period for full protection?
Investors must hold shares for the entire 1-year outcome period to benefit from the advertised downside protection and cap ranges.
2. How are the cap ranges determined?
Cap ranges are based on the last 15 trading days before the announcement and are subject to change based on market conditions.
3. Can I trade these ETFs before the outcome period ends?
Yes, but early trading may expose investors to different returns than the fund’s objectives, as protections reset annually.
4. Are these ETFs suitable for short-term traders?
No, these ETFs are designed for buy-and-hold investors seeking downside protection over a 1-year horizon.
5. What happens if Bitcoin’s price drops significantly?
The ETFs provide buffered protection (80%-100%) against losses, but investors still bear partial risk depending on the protection level chosen.
👉 Explore Calamos’ full suite of Structured Protection ETFs
Conclusion
Calamos’ innovative Bitcoin Protection ETFs combine exposure to Bitcoin’s growth potential with structured downside protection, making them an attractive option for risk-averse investors. With varying protection levels and cap ranges, these ETFs cater to diverse investment strategies while offering tax efficiency and annual resets.
Disclaimer: Investing involves risks, including potential loss of principal. Investors should review the prospectus and consult a financial advisor before making decisions.