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Investing - Theory, News & General • Buffered ETF's

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I think this is a good use of the Calamos 100% protected ETFs. The other use might be for the extremely risk averse individual who might otherwise buy a FIA. The ETF has the advantage of being liquid.
I think I'd rather see someone buying a Buffered ETF than an FIA or a structured note, but I still think I'd try to talk them out of buying any of these products designed to be sold to people using fear of a market downturn.

Experienced investors become comfortable with market fluctuation because they don't have any money they need any time soon in anything that fluctuates and know that they are being paid well to hold fluctuating assets.
For me I don't have a fear of market downturn, except for my cash. But my cash held in taxable account generates tax, which is a dog I don't want, because I don't want to pay tax on money I don't need to spend.

Do you know any other form of cash that will earn 5-8% and not generate any taxable interest over your lifetime?
Whole life cash value?
Fixed annuities?
Municipal MMF?
I Bonds?

Should I keep going?

But I agree, that ETF structure sure provides some nice tax benefits for this basket of options called a Buffered ETF.

Statistics: Posted by White Coat Investor — Mon Jul 22, 2024 11:44 am — Replies 61 — Views 4755



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