FT Vest Extends Lead as Buffer ETF Issuers Flood the Market with New Strategies

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Macro Summary & Product Growth

The Defined Outcome (Buffer) ETF landscape continues to hold massive scale, commanding a total AUM of $84.25B across 472 funds and 19 competing issuers. While the segment experienced a slight net outflow over the past week amounting to -$129M, the longer-term trajectory remains heavily positive. Year-to-date flows stand strong at $4.20B, and 1-year flows emphasize the sustained structural demand with a massive $12.87B gathered over the trailing twelve months.

Rapid expansion remains a key theme as issuers continue to flood the market with highly specific outcome variations to capture advisor demand. Over the past three months alone, 13 new ETFs have launched in the space. Innovator and FT Vest lead this recent issuance charge, systematically rounding out their monthly and quarterly suites while also introducing more granular downside protection and dual-directional strategies.

Performance (Idiosyncratic Returns)

Defined Outcome performance is highly idiosyncratic and dependent on a fund’s current proximity to its upside cap and downside buffer, rather than just the simple return of the underlying asset. Looking at the raw underlying asset categories, Equity: Global Ex-U.S. Large Cap – Blend posted the strongest Week-To-Date return at 4.43%. Conversely, Fixed Income: Taxable – Government Long lagged as the weakest category for the week, returning just 1.67%.

Explore the full, free performance report in the right-side panel to view how individual Buffer ETFs are currently tracking against their respective benchmarks and outcome periods. Understanding where a fund is currently trading relative to its specific strike price is critical to analyzing its true remaining upside potential.

Flow Cyclicality & Trends

Flows are exhibiting their typical cyclicality, concentrating heavily around current and upcoming outcome period resets. We are observing major rotational assets moving out of April and Quarterly reset funds and flowing heavily into Laddered and March portfolios. The dominant asset class remains Buffer – Equity, representing the vast majority of assets and driving the week’s overall outflows (-$125M). On an individual level, the Laddered Nasdaq Buffer ETF (BUFQ) emerged as the top individual fund flow leader, pulling in an impressive $50M in new capital.

Flows by Asset Class

Asset Class # of Funds AUM WTD Flow 1M Flow 3M Flow YTD Flow 1Y Flow
Buffer – Commodity 1 $53M $2M $8M -$1M -$1M -$10M
Buffer – Crypto 20 $187M -$1M $6M -$1M -$2M $81M
Buffer – Equity 431 $83,317M -$125M $1,721M $4,019M $4,090M $12,464M
Buffer – Fixed Income 2 $31M $0M $0M -$2M -$2M -$18M
Buffer – Synthetic Income 18 $663M -$5M -$6M $84M $112M $349M

Flows by Outcome Period / Strategy

Implementation WTD Flow 1M Flow 3M Flow YTD Flow 1Y Flow
Top 3 Inflows
Buffer Reset: Laddered $122M $434M $1,059M $1,092M $3,161M
Buffer Reset: March $85M $427M $306M $305M $331M
Buffer Reset: August $33M -$73M -$256M -$278M $329M
Top 3 Outflows
Buffer Reset: April -$223M -$43M -$189M -$196M $389M
Buffer Reset: Quarterly -$158M $213M $697M $706M $2,381M
Buffer Reset: October -$26M -$51M -$265M -$261M $873M

Individual Fund Flows (WTD)

Ticker Fund Name WTD Flow
Top 5 Inflows
BUFQ FT Vest Laddered Nasdaq Buffer ETF $50M
BUFR FT Vest Laddered Buffer ETF $37M
PAPR Innovator U.S. Equity Power Buffer ETF – April $36M
MMAX iShares Large Cap Max Buffer Mar ETF $29M
AUGZ TrueShares Structured Outcome (August) ETF $23M
Top 5 Outflows
APRW AllianzIM U.S. Equity Buffer20 Apr ETF -$157M
ZALT Innovator U.S. Equity 10 Buffer ETF – Quarterly -$156M
ARLU AllianzIM U.S. Equity Buffer15 Uncapped Apr ETF -$49M
APRT AllianzIM U.S. Equity Buffer10 Apr ETF -$37M
A100 AllianzIM U.S. Equity Buffer100 Protection ETF -$31M

League Tables

The competitive landscape continues to be heavily consolidated at the top. FT Vest and Innovator lead the market, representing the vast majority of all assets under management. FT Vest maintains the overall top spot with $41.09B in AUM and posted a strong $172M in weekly inflows, extending its market share. Innovator follows closely in the number two position with $30.89B in assets, but saw net outflows of -$57M for the week.

Top 5 Issuers by AUM

Issuer # of ETFs AUM Market Share
FT Vest 118 $41.09B 48.77%
Innovator 166 $30.89B 36.67%
Allianz 50 $5.15B 6.12%
AB Funds 3 $1.48B 1.76%
Pacer 13 $1.23B 1.46%

Issuer Flows (WTD)

Issuer WTD Flow 1M Flow 3M Flow YTD Flow 1Y Flow
Top 3 Inflows
FT Vest $172M $882M $1.76B $1.80B $5.27B
iShares $62M $59M $0.13B $0.13B $0.28B
TrueShares $28M $78M $0.09B $0.09B $0.19B
Top 3 Outflows
Allianz -$301M $115M $0.26B $0.26B $0.73B
Innovator -$57M $483M $1.29B $1.31B $4.47B
PGIM -$39M $47M $0.22B $0.23B $0.60B

Explore the data behind the insights. This weekly recap is just the start. Access the complete, in-depth reports for FREE in the right side panel to analyze performance, track flows, and view the latest league tables.

Disclosures

This material is for informational purposes only and should not be considered investment advice. All investments, including ETFs, involve risk, including the possible loss of principal. Investors should consider their investment objectives, risks, charges, and expenses carefully before investing.

This analysis was developed by the team at ETF Action. We leverage advanced AI tools to assist in the drafting and refinement of our content, based on our expert prompts, direction, and final review.