When it comes to building a portfolio for retirees, some advisors may not see bitcoin exposure as a priority.
Generally speaking, many retirees seek to secure an income stream and returns that outpace inflation while carefully managing their risk profile. Not surprisingly, they tend to gravitate toward instruments like money market funds, investment-grade bonds, and lower-risk equities.
Given bitcoin’s status as a high-risk, high-reward asset, it’s understandable why the cryptocurrency may not be on the radar for most retirees. For many, wealth preservation is top of mind, making bitcoin’s risk profile a bit undesirable.
CBOJ Can Offer Bitcoin’s Upside With Minimal Risk
Now, however, there’s a movement afoot to offer solutions in a tax-efficient ETF wrapper that can harness bitcoin upside in a highly risk-cautious manner. One potentially advantageous fund for retirees is the Calamos Bitcoin Structured Alt Protection ETF – January (CBOJ).
CBOJ utilizes a disciplined options strategy to develop upside exposure to bitcoin’s positive price return. As of February 24, 2025, the fund had an upside cap of more than 11%, notably higher than traditional buffer strategies on the market.
This return potential is paired with a hearty bulwark of downside security. Save for fees and expenses, CBOJ will protect investment principal against 100% of losses accrued over its one-year outcome period.
CBOJ’s competitively high upside cap allows the fund to compete with tools such as money market funds as a safer means to put cash to work. Meanwhile, the Calamos strategy’s extensive downside protection can help retirees access this higher upside without taking on significantly more risk, thereby preserving wealth.
Cryptocurrency diversification can also benefit a retiree’s portfolio. Crypto returns are not particularly correlated to those of stocks or bonds, creating an extra avenue for retirees to tap into upward market momentum.
Despite having only recently launched on January 22, 2025, CBOJ has already garnered significant interest from investors and retirees. Since the fund’s launch, CBOJ has had net flows of well over $43 million.
For more news, information, and analysis, visit the Crypto Channel.
Disclosure Information
Calamos Investments LLC, referred to herein as Calamos, is a financial services company offering such services through its subsidiaries: Calamos Advisors LLC, Calamos Wealth Management LLC, Calamos Investments LLP, and Calamos Financial Services LLC.
Before investing, carefully consider a Fund’s investment objectives, risks, charges and expenses. Please see the prospectus and summary prospectus containing this and other information which can be obtained by calling 1-866-363-9219. Read it carefully before investing.
An investment in the Fund is subject to risks, and you could lose money on your investment in the Fund. There can be no assurance that the Fund will achieve its investment objective. Your investment in the Fund is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. The risks associated with an investment in the Fund can increase during times of significant market volatility. The Fund also has specific principal risks, which are described below. More detailed information regarding these risks can be found in the Fund’s prospectus.
Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any securities. Past performance is not an indication of future performance. All investments involve risk and, unless otherwise stated, are not guaranteed.
The Fund seeks to provide investment results that, before taking fees and expenses into account, track the positive price return of the CME CF Bitcoin Reference Rate – New York Variant (“BRRNY”) (“Spot bitcoin”) up to a predetermined upside cap (the “Cap”) while seeking to protect against 100% of losses (before fees and expenses) of (i) Spot bitcoin or (ii) one or more of the Underlying ETPs and/or Bitcoin Indexes, in each case, over a period of approximately one (1) year (the “Outcome Period”). The Fund will not invest directly in bitcoin. Instead, the Fund seeks to provide investment results that, before taking fees and expenses into account, track the positive price return of Spot bitcoin by investing in options that reference the price performance of either (i) one or more underlying exchange-traded products (“Underlying ETPs”) which, in turn, own bitcoin or (ii) one or more indexes that are designed to track the price of bitcoin (“Bitcoin Index”).
The Target Outcome may not be achieved, and investors may lose some or all of their money. The Funds are designed to achieve the Target Outcome only if an investor buys on the first day of the Outcome Period and holds a Fund until the end of the Outcome Period. While the Funds seek to provide 100%, 90% or 80% protection against losses experienced by the price of Spot bitcoin for shareholders who hold Fund Shares for an entire Outcome Period, there is no guarantee a Fund will successfully do so. If a Fund’s NAV has increased significantly, a shareholder that purchases Fund Shares after the first day of an Outcome Period could lose their entire investment. An investment in the Funds is only appropriate for shareholders willing to bear those losses. There is no guarantee the Capital Protection and Cap will be successful, and a shareholder investing at the beginning of an Outcome Period could also lose their entire investment.
Digital Assets Risk: The Bitcoin network was first launched in 2009 and bitcoins were the first cryptographic digital assets created to gain global adoption and critical mass. Although the Bitcoin network is the most established digital asset network, the Bitcoin network and other cryptographic and algorithmic protocols governing the issuance of digital assets represent a new and rapidly evolving industry that is subject to a variety of factors that are difficult to evaluate. Moreover, because digital assets, including bitcoin, have been in existence for a short period of time and are continuing to develop, there may be additional risks in the future that are impossible to predict as of the date of this prospectus. Digital assets represent a new and rapidly evolving industry, and the value of the Underlying ETPs’ shares depends on the acceptance of bitcoin. The realization of one or more of the following risks could materially adversely affect the value of the Underlying ETPs’ shares.
Investing involves risks. Loss of principal is possible. The Funds face numerous market trading risks, including authorized participation concentration risk, underlying ETP risk, cap change risk, capital protection risk, capped upside risk, cash holdings risk, concentration risk, clearing member default risk, correlation risk, costs of buying and selling fund shares, counterparty risk, derivatives risk, equity securities risk, FLEX options risk, interest rate risk, investment in a subsidiary, investment timing risk, liquidity risk, management risk, market maker risk, market risk, new fund risk, non-diversification risk, options risk, OTC options risk, position limits risk, premium-discount risk, secondary market trading risk, sector risk, tax risk, trading issues risk, U.S. Government security risk, U.S. Treasury risk, and valuation risk. For a detailed list of Fund risks see the prospectus.
The fund’s expense ratio as of the prospectus dated 1/21/2025 is 0.69%.
100% capital protection is over a one-year period before fees and expenses. All caps are pre-determined.
Cap Rate – Maximum percentage return an investor can achieve from an investment in a Fund if held over the Outcome Period.
Protection Level – Amount of protection a Fund is designed to achieve over the Days Remaining.
Outcome Period – Number of days in the Outcome Period
Calamos Financial Services LLC, Distributor
NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE
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