(DAUG) FT Cboe Vest U.S. Equity - Ratings and Ratios

The FT Cboe Vest U.S. Equity Deep Buffer ETF - August (BATS:DAUG) is designed to provide investors with exposure to the S&P 500 while incorporating a buffer against potential losses. Under normal market conditions, the fund allocates substantially all its assets to FLEX Options, which are exchange-traded, customizable option contracts. These options are tied to the performance of the SPDR® S&P 500® ETF Trust, allowing the fund to implement a structured outcome strategy. The use of FLEX Options enables the fund to customize key terms such as strike prices, expiration dates, and option styles, providing a tailored investment approach. The fund is non-diversified, meaning it can concentrate its investments in a limited number of securities, which may increase risk but also allows for targeted exposure to the underlying index.

As a defined outcome ETF, DAUG focuses on delivering specific risk-return profiles. Its strategy is designed to buffer against market downturns while participating in potential upside, within predetermined parameters. The funds structure is intended to appeal to investors seeking equity exposure with downside protection, particularly during periods of heightened volatility. The FLEX Options strategy allows the fund to lock in specific outcomes, such as limiting losses to a certain percentage over a defined period, while still offering upside potential. This makes it a tool for risk-managed equity allocation in investor portfolios.

Based on the provided and , here is a 3-month forecast for DAUG:

Over the next three months, DAUG is expected to trade within a narrow range, supported by its structured outcome strategy. The SMA 20 and SMA 50 are closely aligned at 40.35 and 40.12, respectively, indicating a stable trend. The SMA 200 at 38.95 suggests long-term support around the 39 level. The ATR of 0.20 points to limited volatility, with potential price fluctuations confined to a tight range. Given its current price of 40.11, DAUG is likely to oscillate between 39.90 and 40.40 in the short term, with minimal downside risk due to its buffer mechanism. The funds AUM of $316.60M USD reflects moderate investor interest, with average daily volume of 12,013 shares suggesting manageable liquidity.