6 Smart ETFs for Low-Risk Investors
“Buffer ETFs help narrow the range of possible return outcomes for the index that it tracks,” says Mark Andraos, associate portfolio manager at Regency Wealth Management. “Think of them as ‘gutter guards’ when you went bowling as a child; the guard rails help keep you in a specified range.” The drawback of FOCT is that an investor’s upside return potential is also capped at 18% over the one-year period. The ETF also charges a fairly high 0.85% expense ratio.