At a glance
PSFD charges 0.6% a year, below the 0.86% average of the 7 funds most like it (the cheapest of 8). It has $59.1M in assets, the 8th largest of that group. Over the past year it returned +12.3% with distributions reinvested (S&P 500: +11.5%), 3rd of those 8 funds; over three years it returned +17.3% a year. At its worst it fell 14.9% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 7 months after the low.
The short version
Pacer Swan SOS Flex (January) ETF (PSFD) is an actively managed ETF that holds FLEX options on the SPDR S&P 500 ETF Trust (SPY) instead of stocks. Over each January-to-December period it aims to absorb the first 20% of SPY's losses, with that cushion fading to zero at a 40% loss, while capping gains at 13.69% after fees for 2026. Its 0.60% expense ratio is the lowest of the eight buffer funds compared.
Price history
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PSFD +12.3% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| PSFD official prospectus, to Dec 31, 2025 | — | +12.83% | — | +12.66% | — | — |
| PSFD price data to Oct 27, 2026 | +10.4% | +12.3% | +17.3% | +11.6% | — | +12.4% |
- Over the year to Oct 27, 2026, PSFD returned +12.3%, 3rd of 8 among similar funds.
- Its 5-year annualized return was +11.6%.
- Its worst full calendar year was 2022 (-3.1%); its best was 2023 (+20.9%).
- The deepest fall in its price history was 14.9% (Jan 3, 2022 to Jun 16, 2022), recovered by Jan 23, 2023.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +10.4% | — |
| 2025 | +12.9% | +12.83% |
| 2024 | +14.5% | +14.79% |
| 2023 | +20.9% | +21.01% |
| 2022 | -3.1% | -2.85% |
| 2021 | — | +18.48% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 13.5% over that stretch · deepest drop along the way 14.9%, back to its old high 7.3 months after the low |
What's inside
As of Jul 31, 2026, the fund held 0 securities; the ten largest made up 0% of assets.
| Holding | Weight |
|---|
By country
By asset type
What changed recently
- Over the three months to Jul 31, 2026, investors withdrew a net $988K (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +2.42%, -0.03%, +0.69%.
How it works
PSFD doesn't track an index. Pacer Advisors puts nearly all of the fund's assets into FLEX Options that are tied to SPY's share price. FLEX Options are exchange-listed options whose strike prices and expiration dates can be customized. As of July 31, 2026, options made up about 99.7% of the portfolio and cash 0.34%. The largest position is a deep in-the-money call, which moves roughly in step with SPY. Puts that the fund buys and sells create the buffer. A call that the fund sells sets the cap: the fund gives up gains above that level to help pay for the protection.
For shares held from January 2 to December 31, 2026, the fund seeks to match SPY's gains up to 14.30% before fees (13.69% after fees). If SPY falls by up to 20%, the goal is a flat return before fees. If SPY falls between 20% and 40%, the fund's losses grow faster than SPY's until they match at a 40% loss. Beyond that, losses are one-for-one. These outcomes are based on SPY's share price, so they leave out SPY's dividends.
When a period ends, the fund buys a new set of options, and a new cap is set based on market conditions at that time. Buying after the start of a period or selling before its end can produce very different results. Pacer posts the fund's daily position relative to the cap and buffer on its website.
What it really costs
- PSFD charges 0.6% a year, versus an average of 0.86% for the similar funds below (1st of 8, 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).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| PSFD | $61 | $192 | $335 | $750 |
Structure and tax notes
- Organized as a unit investment trust: it cannot lend out its securities or reinvest dividends between payouts, which can create a small drag versus similar open-end ETFs.
- Uses options to limit losses within a range (the buffer) in exchange for a cap on gains over each outcome period; results depend on when you buy relative to the period start.
In a retirement portfolio
It gets S&P 500 exposure through options built to absorb the first 20% of SPY's losses each period, and in exchange it gives up gains above a cap.
PSFD launched in December 2020, so it has no record from the 2008 financial crisis or the 2020 COVID crash. In the 2022 bear market, its deepest drop was 14.9%, from January 3 to June 16, 2022. It took about 7.3 months to recover, by January 23, 2023. That shows the buffer is designed around the full period, not each day. Someone who sold shares during a slump in the middle of a period could still lock in a loss. Its worst calendar year was 2022, at −2.85%. The fund recorded no distributions, so any cash drawn from it would have to come from selling shares. It costs 0.60% a year, or $61 in the first year under the SEC's standard $10,000 example. Past results don't predict future returns, and a retirement plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want S&P 500 exposure with a 20% buffer against SPY losses each period and accept a 13.69% after-fee cap for 2026.
- Cost-conscious buyers of buffer funds: its 0.60% expense ratio compares with a 0.86% average across seven similar defined-outcome ETFs.
- Holders who can buy near January 2 and hold to December 31, the dates when the stated buffer and cap fully apply.
Look elsewhere if
- Retirees who need regular income: the fund recorded no distributions, and its targeted outcomes exclude SPY's dividends.
- Investors who want full stock-market upside, because gains above the cap (14.30% before fees for the 2026 period) are given up.
- Anyone wanting protection in a deep crash: the buffer fades to zero once SPY's losses reach 40%, and larger losses pass through one-for-one.
Close alternatives
Matched by other buffer (defined-outcome) funds, largest first.
| Fund | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|
| PSFD this fund | 0.6% | $59.1M | +12.3% | +17.3% |
| BUFR FT Vest Laddered Buffer ETF | 0.95% | $10.49B | +11.6% | +16.8% |
| BUFD FT Vest Laddered Deep Buffer ETF | 0.95% | $2.04B | +9.5% | +13.9% |
| PJAN Innovator U.S. Equity Power Buffer ETF - Ja… | 0.79% | $1.44B | +10.5% | +14.8% |
| PDEC Innovator U.S. Equity Power Buffer ETF - De… | 0.79% | $984.1M | +11.6% | +14.9% |
| FDEC FT Vest US Equity Buffer ETF - December | 0.85% | $1.31B | +12.9% | +18.5% |
| FJAN FT Vest US Equity Buffer ETF - January | 0.85% | $1.47B | +12.3% | +17.4% |
| FFEB FT Vest U.S. Equity Buffer Fund - February | 0.85% | $1.42B | +12.9% | +18.6% |
Questions investors ask
Does PSFD pay dividends?
No. No distributions were recorded for PSFD. The fund holds FLEX options on SPY rather than the stocks themselves, and its targeted outcomes are based on SPY's share price return, which leaves out SPY's dividends. Investors who need cash from this holding would have to sell shares. That matters in retirement, because selling during a slump in the middle of a period can lock in a loss, even if the buffer would have helped by the period's end.
How does the PSFD buffer work?
PSFD aims to absorb the first 20% of SPY's share price losses over each period. The 2026 period runs from January 2 to December 31. If SPY falls by up to 20%, the goal is a flat return before fees. Between 20% and 40% losses, the protection fades and the fund's losses catch up with SPY's. Past a 40% loss, the fund loses one-for-one with SPY. The buffer applies to shares held for the whole period, and there is no guarantee it will work.
What is the PSFD cap for 2026?
For the period from January 2 to December 31, 2026, the cap is 14.30% before fees and 13.69% after fees, according to the prospectus filed February 27, 2026. If SPY rises more than that, PSFD gives up the extra gain. A new cap is set each January based on market conditions, so it is unlikely to stay the same. Someone buying partway through the year faces a different remaining cap and buffer, which Pacer posts daily on its website.
PSFD vs FJAN: what's the difference?
Both are January-series buffer ETFs, but PSFD is cheaper and much smaller. PSFD charges 0.60% a year, compared with 0.85% for FT Vest US Equity Buffer ETF - January (FJAN). As of October 27, 2026, both returned 12.3% over one year. Over three years, FJAN returned 17.4% a year and PSFD 17.3%. PSFD's net assets were about $59.1 million as of July 31, 2026. FJAN's were about $1.47 billion as of August 31, 2026. Their buffer and cap terms are worth comparing directly.
How did PSFD do in 2022?
PSFD lost 2.85% in calendar 2022, according to the prospectus. It was the fund's only losing calendar year from 2021 through 2025. Within 2022, it fell as much as 14.9% between January 3 and June 16, and it took about 7.3 months to recover, by January 23, 2023. Its worst quarter was −9.32%, in the quarter ending June 30, 2022. The gap between the mid-year drop and the full-year result shows that the buffer is designed around the full period, not each day.