Innovator US Equity Buffer ETF January

BJAN

Market cap $377M

The ETF marketplace underwent a seismic shift at the end of last year with Goldman Sachs Asset Management (GSAM) acquiring Innovator Capital Management.

In this article, we explore the basics of buffer ETFs and share our thoughts on why we think these ETFs could be a powerful tool for managing risk. By selecting a buffer ETF with a predefined payoff profile that best matches one's preferences, one can achieve the equivalent of a customized option strategy to position for a pullback. The ideal scenario for using buffer ETFs would be when the market has performed exceptionally well and is at risk of a potential pullback.