ARK Invest Files New Structured ETFs Featuring 50% Decline Buffer Inspired by ARKK

On July 3, Bloomberg’s senior ETF analyst Eric Balchunas highlighted ARK Invest’s latest move in the ETF space. Under Cathie Wood’s leadership, ARK Invest has submitted applications for innovative structured ETFs, commonly referred to as buffer ETFs. These products aim to limit downside risk with a 50% decline threshold, while allowing investors to capture most of the upside, excluding the initial 5% gain. This strategic approach reflects a growing investor appetite for income-oriented investment vehicles that balance risk and reward effectively. The introduction of such ETFs signals a shift towards more sophisticated financial instruments designed to navigate volatile markets while preserving capital.