Pacer Trendpilot US Large Cap ETF

Pacer Trendpilot US Large Cap ETF (PTLC) tracks an index that owns the S&P 500 while the market is trending up. When the S&P 500 falls below its 200-day average, the index moves half or all of its money into 3-month US Treasury bills. That rules-based exit is what sets it apart from plain S&P 500 funds. It also costs more: 0.60% a year, against 0.03% for VOO or IVV.

• Over the year to Oct 27, 2026, PTLC returned +7.8%, 9th of 9 among similar funds.
• Its 5-year annualized return was +9.6% and its 10-year +11.3%.
• In the 2020 COVID crash it fell 26.6% and regained its old high 12.6 months after the low.
• Its worst full calendar year was 2022 (-8.6%); its best was 2021 (+27.9%).
• The deepest fall in its price history was 26.6% (Feb 19, 2020 to Mar 12, 2020), recovered by Apr 1, 2021.

As of Jul 31, 2026, the fund held 504 securities; the ten largest made up 37.6% of assets.

By sector

• Over the three months to Jul 31, 2026, investors withdrew a net $78.0M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +5.21%, -0.97%, -0.09%.

PTLC follows the Pacer Trendpilot US Large Cap Index. The index was built by Index Design Group, an affiliate of the fund's adviser, Pacer Advisors. It can be in one of three positions: 100% in the S&P 500, half in the S&P 500 and half in 3-month US Treasury bills, or 100% in T-bills. The signal is the S&P 500's 200-day moving average. That is the average closing level over the past 200 business days, with dividends included, and it is a common gauge of the longer-term trend.

If the S&P 500 closes below that average for five business days in a row, the index moves to 50/50. If the moving average then drops below where it stood five business days earlier, the index goes fully into T-bills. It returns to 100% stocks only after the S&P 500 closes above the average for five straight days. A separate rule moves the index to 50/50 if the S&P 500 falls 20% below its average. Each switch takes effect at the close of the next business day, so the fund always reacts after a move has started.

When it holds stocks, the fund owns the S&P 500's companies. As of July 31, 2026, it held 504 stocks. NVIDIA (7.5%), Apple (7.0%) and Microsoft (5.4%) were the largest, and the top 10 made up 37.6% of the fund. Portfolio turnover was 55%. In choppy markets, the rules can switch back and forth, selling after a drop and buying back higher.

• PTLC charges 0.6% a year, versus an average of 0.14% 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).

Its rules aim to move out of stocks during long declines, but it is still a stock fund most of the time and fell 26.6% in early 2020.

PTLC's record in downturns is mixed. It did not exist during the 2008 crisis. In the 2020 COVID crash it fell 26.6% from February 19 to March 12, 2020, its deepest drop. It took 12.6 months to recover and ended 2020 down 1.16%. In 2022 it lost 8.6%, its worst calendar year, but it still took 16.2 months to get back to its January 2022 peak. Fast crashes can move faster than its five-day signals. Someone selling shares in a slump could still lock in losses, and the fund can be sitting in T-bills when stocks rebound.

Income is small: the yield was 0.98% as of October 27, 2026, paid once a year. Costs are high. In the SEC's standard example, $10,000 invested costs $61 in the first year and $750 over 10 years. Past results don't predict future returns, and a plan should look at the whole portfolio, not one fund.

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