Innovator Hedged Nasdaq-100 ETF

Frequently Asked Questions About QHDG

What does QHDG invest in?

The Innovator Hedged Nasdaq-100 ETF (QHDG) aims to generate capital appreciation from prominent U.S. large-cap companies, drawing its investment universe from stocks similar to those in the Nasdaq-100 Index, though not necessarily replicating its exact holdings. Designed as a conservative equity investment, the fund implements a quarterly hedging strategy intended to buffer against market declines specifically falling between 5% and 15%. This protection is facilitated by FLEX options, which simultaneously create an ongoing cost and cap on potential returns in exchange for this partial downside defense. However, such safeguards are not guaranteed. Should market contractions be less than 5% or exceed 15% in a quarter, investors will bear the full brunt of those losses. Furthermore, since the portfolio may not precisely match all index components, some short call positions might be considered uncovered. With option positions reset every three months, there remains a risk of significant capital erosion for investors.

What is the expense ratio of QHDG?

Innovator Hedged Nasdaq-100 ETF (QHDG) charges an expense ratio of 0.79%. This is the annual fee deducted from fund assets to cover management and operations.

How big is QHDG?

Innovator Hedged Nasdaq-100 ETF (QHDG) manages $2.3M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure — funds below ~$50M are at higher risk of liquidation.

Is QHDG actively managed or an index fund?

QHDG is a passive index fund — it tracks a published benchmark by holding the constituents in their published weights. Index funds typically charge low expense ratios (QHDG's is 0.79%) because there's no security selection cost.

When was QHDG launched?

Innovator Hedged Nasdaq-100 ETF (QHDG) launched in August 2024 and is managed by Innovator.

How has QHDG performed?

QHDG's total return — price change plus reinvested distributions — is charted at the top of this page. Switch the price chart to Total Return and pick a 1-year, 3-year, 5-year, or 10-year window to read the compound annual growth rate (CAGR) over each horizon.