These ETFs protect against ‘black swan’ stock-market events like we’ve just seen
From Yahoo Finance: 2025-04-08 16:08:00
Insuring your portfolio against a “black swan” event is crucial, as recent market losses show. Traditional risk-management strategies may not be enough. Risk analyst Nassim Nicholas Taleb suggests a “barbell” strategy, like the Amplify BlackSwan Growth & Treasury Core ETF, to protect against extreme events and market volatility.
Another approach is the Swan Hedged Equity US Large Cap ETF, which uses S&P 500 put options for insurance. The historical premium for black-swan insurance has been around 1.6 annualized percentage points. Protecting against black swans depends on having insurance policies in place, just like homeowners wouldn’t let home-insurance lapse.
As black swans are unpredictable, insuring against them is crucial. Market volatility and recent losses highlight the need for protection. Consider strategies like the Amplify BlackSwan ETF and Swan Hedged Equity ETF to safeguard your portfolio against extreme events and market downturns.
Read more: These ETFs protect against ‘black swan’ stock-market events like we’ve just seen