BlackRock has launched a new actively managed buffer ETF, the first of a new series designed to be the firm’s most affordable buffer ETF offerings.
On Monday, the firm launched the iShares Large Cap Max Buffer Jun ETF (MAXJ) on the CBOE. The ETF has a gross expense ratio of 0.53% and then a downside buffer of 100% for the one-year hedge period. MAXJ is the first of four buffer ETFs, collectively called the iShares Max Buffer ETFs, that will track the share price return of the $487.9bn iShares Core S&P 500 ETF (IVV).
The ETFs are ‘buy-and-hold strategies,’ with a hedge period of one year. The second ETF, the iShares Large Cap Max Buffer Sep ETF (SMAX), will launch on October 1, 2024, the third on January 2, 2025, and the fourth on April 1, 2025.
