Investors, advisors flock to ‘buffer’ ETFs as markets sell off – One America News Network

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By Suzanne McGee

March 14, 2025 – 8:18 AM PDT

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A trader on the floor of the New York Stock Exchange shortly before the closing bell as the market takes a significant dip in New York, U.S., February 25, 2020. REUTERS/Lucas Jackson/File Photo/File Photo

(Reuters) – Investors are increasingly taking refuge from the tumultuous U.S. stock market by pouring into a type of exchange-traded fund that offers a tradeoff, a cap on potential gains in return for a cushion against possible losses.

Over the past month, as the market has pulled back sharply, “buffer” ETFs have seen $2.5 billion of inflows, according to CFRA Research. The category has seen $4.7 billion of inflows so far this year, as the benchmark S&P 500 stock index (.SPX) has declined 6%.

On Monday, the S&P 500’s biggest drop of the year, such buffer ETFs pulled in $140 million in net…

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