It’s no understatement to point out that the Calamos Autocallable Income ETF (CAIE) has seen meteoric flows ever since the fund launched on June 25, 2025. CAIE has already accrued over $350 million in assets under management, a testament to its appeal. These flows aren’t happening by chance. In today’s environment, where advisors and investors are actively seeking alternative sources of income, CAIE stands out by offering a compelling and innovative solution.
See More: Autocallable ETF CAIE Hits $300 Million in AUM
Part of CAIE’s success story comes from how the fund is designed to offer more than just monthly income. Sure, many primarily pick CAIE for seeking highly competitive yield on a regular basis, but there’s more to CAIE than meets the eye.
First, it’s important to properly understand how CAIE operates. This fund from Calamos seeks to generate its aforementioned yield by investing in a laddered selection of autocallable yield notes. These notes are market-linked investments that generate regular income based on how their chosen equity index performs. Basically, as long as the equity index doesn’t drop below a predetermined barrier level, the autocallables will continue to generate income until they reach maturity.
For CAIE specifically, its laddered autocallables all use the MerQube US Large-Cap Vol. Advantage Index as their chosen index. Additionally, these notes all have a predetermined barrier level of -40%. As long as the MerQube index doesn’t drop below -40%, CAIE’s 52+ autocallables can continue to bring in the yield month after month.
This is a strategy that is currently paying off with an attractive yield profile. As of September 30, 2025, CAIE’s distribution rate was 14.36%.
CAIE Offers More Than Just Strong Income
In addition to income, the autocallable structure can help a portfolio cultivate a tamer risk profile. CAIE’s autocallables don’t need to be moving in a positive direction, or even a neutral one, for the fund to deliver compelling income on a regular basis. As long as the index doesn’t drop below -40%, the fund’s underlying autocallables can keep bringing in the yield. This can give investors a potential source of income, even if the equity market is going through a moderate bout of volatility.
Furthermore, CAIE also offers noticeable opportunities for capital appreciation. As of September 30, 2025, the fund’s NAV has risen 9.99% over the last three months. Considering how much income CAIE has generated for its investors since inception, this degree of capital appreciation paired alongside it is impressive.
These advantages are part of why it’s important to understand how the autocallable structure works, and how the Calamos team utilizes it to deliver results for its investment community. To learn more about CAIE and how autocallables operate, visit calamos.com.
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Before investing, carefully consider the fund’s investment objectives, risks, charges and expenses. Please see the prospectus and summary prospectus containing this and other information which can be obtained by calling 1-866-363-9219. Read it carefully before investing.
An investment in the Fund(s) is subject to risks, and you could lose money on your investment in the Fund(s). There can be no assurance that the Fund(s) will achieve its investment objective. Your investment in the Fund(s) is not a deposit in a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. The risks associated with an investment in the Fund(s) can increase during times of significant market volatility. The Fund(s) also has specific principal risks, which are described below. More detailed information regarding these risks can be found in the Fund’s prospectus.
The principal risks of investing in the Calamos Autocallable Income ETF include: autocallable structure risk, contingent income risk, early redemption risk, barrier risk, authorized participant concentration risk, calculation methodology risk, cash holdings risk, correlation risk, costs of buying and selling fund shares, counterparty risk, credit risk, derivatives risk, equity securities risk, index risk, interest rate risk, investment in a subsidiary, laddered portfolio risk, liquidity risk, market maker risk, market risk, new fund risk, non-diversification risk, premium-discount risk, secondary market trading risk, swap agreement risk, tax risk, trading issues risk, valuation risk, and volatility target index risk.
Autocallable Structure Risk –The Fund’s returns are correlated to the performance of a synthetic portfolio of autocallable notes tracked by the Laddered Autocall Index.
Unmanaged index returns, unlike fund returns, do not reflect fees, expenses or sales charges. Investors cannot invest directly in an index. Total return assumes the reinvestment of income. Current performance may be higher or lower than the performance data shown. Yields represented by trailing 12 month yield for: US Equity- S&P 500; U.S High Yield – Bloomberg US Aggregate Corporate High Yield Index; US 10-year – 10-year US Treasury yield; Equity Premium Income: Cboe S&P 500® 2% OTM BuyWrite Index; Autocallable Income: MerQube US Large Cap Vol Advantage Autocallable Index. MerQube US Large Cap Vol Advantage Autocallable Index is not a proxy for Calamos Autocallable Income ETF (CAIE). The results of the MerQube index will differ to those of CAIE. Investors should consider the risks of investing in CAIE and review the prospectus prior to investing. Performance data quoted represents past performance, which is no guarantee of future results. Current performance may be lower or higher than the performance quoted. The principal value of an investment will fluctuate so that your shares, when sold, may be worth more or less than their original cost.
Autocallable notes have specific structural features that may be unfamiliar to many investors:
–Contingent Income Risk: Coupon payments from the Autocalls are not guaranteed and will not be made if the Underlying Index falls below the Coupon Barrier on observation dates. This means the Fund may generate significantly less income than anticipated during market downturns.
–Early Redemption Risk: Autocalls in the Portfolio may be called before their scheduled maturity if the Underlying Reference Index reaches or exceeds the Autocall Barrier on observation dates. This automatic early redemption could force reinvestment of that portion of the portfolio at lower rates if market yields have declined.
–Barrier Risk: If the Underlying Reference Index falls below the Protection Level Barrier at the maturity of an Autocall in the Portfolio, that portion of the Portfolio will be fully exposed to the negative performance of the Underlying Reference Index from its initial level. This conditional protection creates a binary outcome that can result in sudden, significant losses if barriers are breached.
Weighted Average Coupon: The weighted average coupon of all autocallables as of last operation date
Total return assumes the reinvestment of income. Current performance may be higher or lower than the performance data shown. Yield represented by trailing 12 month yield for: Autocallable Income: MerQube US Large Cap Vol Advantage Autocallable Index. MerQube US Large Cap Vol Advantage Autocallable Index is not a proxy for Calamos Autocallable Income ETF (CAIE). The results of the MerQube index will differ to those of CAIE.