DISCLOSURES

 

Program Description

Structured Positions are combinations of publicly traded securities selected with the objective of achieving, as a whole, a combination of fixed income return and long-term growth while also protecting against market volatility.  Securities included in Structured Positions normally include auto-callable note funds and call options and / or put options, depending on the strategy and market conditions.  The Structured Position is valued on its performance as a whole, which means some securities in the Position may decrease in value or, in the case of options, even expire without value in order to achieve the intended return on the Position as a whole.  

Program Risks 

Structured Positions involve several securities and assume various risks, including the risk of loss. While the intention of the Position is to achieve overall positive returns and long-term growth, there is no guarantee that those goals will be met in each instance.  Market conditions and events outside the control of APW can impact the success of the Position. 

A structured position consists of a combination of financial instruments, such as bonds, bond funds, auto-callable note funds, call options and put options that are intentionally diversified across product types (“Position”).  The Position’s performance is viewed based upon the overall performance of all product types and holdings within the Position.  Individual Position parts may gain or lose value over time, and the Position may continue to hold investments that have decreased in value.   

All investments involve risk of loss of principal. An investor must be willing and able to assume such losses.

Although the Position’s objective is to generate fixed income returns and long-term growth,  there is no guarantee that the Position will be successful or generate those results.  There is no assurance the Position will perform as expected or anticipated. 

Fixed income positions can “disconnect”, or move either in opposition to, or to a degree lesser or greater than, market indices, and the investor assumes this risk. Fixed income positions under certain market conditions may also not produce the full yield initially expected.  Finally, fixed income positions are subject to risk of default, either as to yield or principal, under certain conditions, and the investor assumes this risk.  These risks can cause losses to be greater, or gains to be lower, than expected.

Any and all projections of potential returns or market downside protection assume the final position at expiration, and prior to expiration of any position there will be more volatility, and risk of interim loss in value, than at expiration. 

Any illustrations, graphs or charts presented to the investor are for illustrative purposes only, and actual returns will likely be higher or lower than those projected.

Structured Positions are a selected mix of securities designed to work in parallel to generate income and long-term growth, while protecting against market downside.  Therefore, Structured Positions include a limited number of products that function, in tandem, to achieve this objective.  Other income generating products exist, like stocks and bonds and funds, but those products are usually not included in a Structured Position.  

Structured Positions, while intended to protect against market downside, are still market-traded products and remain subject to market volatility. The investor may experience fluctuations in price, decreases in value, and losses inherent in any investment in the market. 

The investor assumes any losses in the fixed income that occur, whether or not the investor has chosen to accept less market upside by purchasing puts on the underlying index or position.

Investment performance is not guaranteed.  You should not assume that investment decisions made in the future will be profitable or will equal the investment performance of the past.

Structured positions that use options are a more complex strategy than buying equities and mutual funds from an exchange.  These investment strategies also involve certain risks.  

Options are not suitable for all investors. There are risks involved in any option strategy. Individuals should not enter into option transactions until they have read and understood the option disclosure document titled "Characteristics and Risks of Standardized Options," which outlines the purposes and risks of option transactions. 

The information provided should not be considered a recommendation to purchase or sell a particular security and/or other investments or investment strategies. 

Returns are shown net of management fees, trading costs, and other direct expenses.  

The investor should independently evaluate all relevant factors prior to making any investment.

​

Investment advice offered through Aurora Private Wealth, Inc. an SEC-registered advisor.

Securities offered through APW Capital, Inc. Member FINRA/SIPC/MSRB

100 Enterprise Drive Suite 504

Rockaway NJ 07866

973-394-0404