Pacer Lunt Large Cap Alternator ETF

Pacer Lunt Large Cap Alternator ETF (ALTL) is an index fund that switches each month between two 100-stock slices of the S&P 500. One slice holds the calmest stocks. The other holds the high-beta stocks, which swing hardest with the market. The fund makes a rules-based timing bet rather than holding the whole market. It charges 0.60% a year, compared with 0.03% for S&P 500 funds such as VOO and IVV, and its portfolio turnover was 467%.

• Over the year to Oct 27, 2026, ALTL returned -7.8%, 9th of 9 among similar funds.
• Its 5-year annualized return was +0.2%.
• Its worst full calendar year was 2023 (-15.8%); its best was 2021 (+45.3%).
• The deepest fall in its price history was 31.9% (Jan 4, 2022 to Oct 27, 2023), recovered by Oct 27, 2025.

As of Jul 31, 2026, the fund held 100 securities; the ten largest made up 15.68% of assets. It also reported 8.56% in a money-market fund, most likely cash collateral from lending out shares rather than uninvested money.

By sector

• Over the three months to Jul 31, 2026, investors withdrew a net $7.1M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +10.35%, +3.83%, -10.18%.

ALTL tracks the Lunt Capital U.S. Large Cap Equity Rotation Index, which Lunt Capital Management designed. The index holds only one of two S&P sub-indexes at a time. The S&P 500 Low Volatility Index holds the 100 S&P 500 stocks with the smallest price swings over the prior 12 months, and the steadiest stocks get the biggest weights. The S&P 500 High Beta Index holds the 100 stocks that moved most with the market over the same period. Beta measures that sensitivity, and this sub-index weights each stock by its beta.

On the last trading day of each month, Lunt gives each sub-index a "Risk-Adjusted Score" based on the standard deviation of its returns over the past 12 months. The index then switches to whichever sub-index scores higher. If nothing changes, no rebalance takes place. The fund generally buys every stock in the index. As of July 31, 2026, it held the high-beta side: 100 stocks led by Robinhood Markets (1.9%), Micron Technology (1.7%), Sandisk (1.7%), Dell Technologies (1.6%) and United Airlines (1.5%). The top 10 made up 15.7% of assets.

This means the fund can go from defensive to aggressive in a single month. The prospectus lists portfolio turnover of 467%, and that much trading adds costs on top of the expense ratio. If the signal is wrong, the fund may own calm stocks during a rally or jumpy stocks during a sell-off. It used no options, leverage or derivatives as of July 31, 2026.

• ALTL charges 0.6% a year, versus an average of 0.15% for the similar funds below (8th of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $61 in the first year and $750 over 10 years (assuming a 5% annual return).

It is a high-cost, high-turnover timing strategy within US large-cap stocks, so it fits better as a small side position than as a foundation.

ALTL holds the same kind of US large-company stocks as an S&P 500 fund, so it adds risk rather than diversification. It launched in June 2020, after the COVID crash, so it has no record for 2008 or 2020. In the 2022 bear market it fell about 23%, and then it kept falling. Its deepest drop was 31.9%, from January 2022 to October 2023, and it did not recover until October 2025. Its worst calendar year was 2023, a loss of 15.9% that followed a loss in 2022. Someone forced to sell during a slump like that would lock in losses. The trailing yield was 1.45% as of October 27, 2026, paid quarterly. In the SEC's standard example, $10,000 costs about $61 in fees in the first year and $750 over 10 years. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.