(PTLC) Pacer Trendpilot US Large - Overview

The Pacer Trendpilot US Large Cap ETF (BATS: PTLC) allocates at least 80 % of its net assets (excluding securities-lending collateral) to the constituents of its underlying index, which follows a rule-based, systematic trend-following model. The model flips among three exposure regimes based on the S&P 500’s price relative to its 200-day simple moving average: (i) full equity exposure (100 % S&P 500), (ii) a balanced split (50 % S&P 500 / 50 % 3-month U.S. Treasury bills), or (iii) full cash exposure (100 % 3-month Treasury bills).

Key quantitative attributes (as of the latest filing) include an expense ratio of 0.49 % and assets under management of roughly $300 million, with an average turnover of about 30 % per year, reflecting the periodic reallocation between equity and cash positions. Historically, the fund’s annualized return since inception (2021-2024) hovers near 7 % with a Sharpe ratio of ~0.6, indicating modest risk-adjusted performance that tends to lag in prolonged bull markets but can provide downside protection during sharp equity corrections.

From a macro perspective, the ETF’s performance is highly sensitive to two drivers: (1) the Federal Reserve’s monetary-policy stance, which influences both Treasury yields and equity valuations, and (2) the volatility regime of the S&P 500, since the 200-day SMA trigger is more likely to flip during periods of heightened price swings. Recent data show that the S&P 500’s 200-day SMA has been trending upward, suggesting a higher probability of the fund staying in the 100 % equity regime unless a rapid market pullback occurs.

If you want a deeper, data-centric view of PTLC’s risk-return profile and how it behaves across different market cycles, a quick look at ValueRay’s analytics dashboard can be a useful next step.