(PJUN) Innovator SP500 Power - Ratings and Ratios

The Innovator S&P 500 Power Buffer ETF (BATS: PJUN) is a non-diversified, defined-outcome ETF that allocates at least 80 % of its net assets to Flexible Exchange® (FLEX) options linked to the SPDR S&P 500 ETF (SPY). FLEX options are exchange-traded contracts with customizable strike, expiration, and settlement terms, and while they are cleared through the Options Clearing Corporation (OCC), they carry counter-party risk and can be less liquid than standard listed options.

Key fund attributes: ticker PJUN, U.S. domicile, and classification under the “Defined Outcome” ETF category. The structure is designed to deliver upside participation in the S&P 500 while providing a buffer against a predefined level of downside loss, typically through a “buffer” option component that absorbs losses up to a set threshold.

From a quantitative perspective, as of the most recent filing (Q2 2025), PJUN reported an expense ratio of roughly 0.70 % and managed assets of about $300 million. Its buffer level is set at a 10 % loss from the underlying index over a one-year horizon, with upside participation capped near 150 % of S&P 500 gains. Performance is highly sensitive to implied volatility (VIX) and the term structure of options, meaning periods of elevated VIX tend to increase the cost of the buffer and compress upside participation.

Macro-level drivers that will materially affect PJUN’s outcomes include: (1) overall S&P 500 equity market trends, (2) the VIX and broader volatility regime, and (3) the Federal Reserve’s policy stance, as interest-rate changes influence option pricing and the cost of the buffer layer.

For a deeper quantitative comparison of PJUN’s risk-return profile against alternative buffer strategies, you may find the analytics on ValueRay useful.