From CNBC: 2024-05-04 11:00:01

There may be an opportunity for exchange-traded funds to tap into trillions of dollars currently in CD and money market accounts, according to Calamos Investments’ Matt Kaufman. He believes structured and options ETFs can offer stability, risk management, and income in a higher-rate environment, especially benefiting retirees seeking to outpace inflation.

Kaufman, who thinks interest rates will remain higher for longer, mentioned that ETFs can provide capital protection over time and opportunities for growth linked to the market with no downside risk. His firm, Calamos, recently introduced a suite of 12 structured protection ETFs designed to offer 100% downside protection.

Read more: Money markets, CDs as next target for ETFs