Content and data provided by various third parties and Fidelity − Terms of Use | Help/Glossary
Research > ETFs > ETF / ETP Commentary > 

Tired of Fed Guesswork? Here Are 3 ETFs With Built-In Buffers

BY | ETF Database
12:14 pm ET 10/28/26 | 22 VIEWS
While the average American may see the end of October as a time for Halloween festivities, investors have been dealing with a looming fright of their own: a Fed Reserve meeting.Key Takeaways: The Federal Reserve has chosen to hold interest rates steady at its latest October meeting. Regardless of the result of the central bank, the market tends to express trepidation, creating a good case for risk-managed S&P 500 exposure. Funds with defensive buffers, like TJUL, BJAN, and CPSL, can help investors stick with the S&P 500 while minimizing their engagement with market volatility. The Fed’s latest two-day meeting concluded today, October 28. Ultimately, the central bank opted to hold rates steady. Of course, the Fed’s rate decision follows its September decision to raise rates by a quarter of a percentage point. As a reminder, this was the first time that the central bank had increased interest rates in well over three years. On days like this, when interest rates are on the minds of advisors and investors alike, it’s worth taking a look at strategies that can perform well regardless of what direction interest rates move. After all, the Fed’s announcements tend to lead to knee-jerk reactions from members of the broader investment community. See More: The 2026 Value Resurgence: Why BKDV Stands Out Defined outcome ETFs and funds that offer similar defensive buffers can provide a strong use case in times like these. Why gamble on the potential outcome of a committee meeting when instead you can lean into a more defensive approach?3 Choices for Protected S&P 500 ExposureThe best part is that there are plenty of different funds available that can help investors mitigate Fed guesswork while staying exposed to the S&P 500. For instance, one could consider something like the Innovator Equity Defined Protection ETF – 2 Yr To July 2027 (TJUL C+). TJUL’s goal is to generate returns that match the SPDR S&P 500 ETF Trust (SPY A-), up to a cap. Crucially, the fund has a 100% downside buffer across its two-year outcome period, before fees and expenses. The Innovator U.S. Equity Buffer ETF – January (BJAN B) also aims to provide similar results to SPY. However, BJAN’s buffer protects against the first 9% of losses, and the outcome period resets annually at the start of every January. See More: Beyond Brazil’s Turmoil, Emerging Market ETF Opportunity Persists There’s also the Calamos Laddered S&P 500 Structured Alt Protection ETF (CPSL ). This fund provides laddered access to a collection of monthly Calamos S&P 500 Structured Protection ETFs. These underlying funds are designed to match the S&P 500’s price performance, up to a cap, while protecting against 100% of losses during the outcome period, prior to fees and expenses. All three of these funds provide different takes on risk-averse S&P 500 exposure, but they all share two things in common: downside barriers and upside exposure. During the weeks when the Fed is meeting and markets are tense, funds like TJUL, BJAN, and CPSL can offer a strong use case for staying engaged with key markets while remaining cognizant of potential risks. For more news, information, and analysis, visit the Equity ETF Content Hub.

More Commentary

1 Year of DRNZ: A Closer Look at Defense ETFs
BY | ETF Database
7:59 am ET 10/28/26 | 34 VIEWS
ETF Prime: ProShares’ Simeon Hyman Breaks Down Autocallable ETFs
BY | ETF Database
9:30 am ET 10/28/26 | 23 VIEWS
Invesco RAFI Strategic US ETF (IUS) Crosses $1 Billion in AUM
BY | ETF Database
4:55 am ET 10/28/26 | 33 VIEWS
View more Commentary

Search Commentary

Enter Keyword(s)
Filter Results

Performance data shown is past performance and is no guarantee of future results. Current performance may be higher or lower than the performance data quoted. Yield and return will vary, therefore you have a gain or loss when you sell your shares. For standard quarterly performance, go to the fund's Snapshot page by clicking on the ETF/ETP's symbol.

ETFs may trade at a premium or discount to their NAV and are subject to the market fluctuations of their underlying investments.

For iShares ETFs, Fidelity receives compensation from the ETF sponsor and/or its affiliates in connection with an exclusive long-term marketing program that includes promotion of iShares ETFs and inclusion of iShares funds in certain FBS platforms and investment programs. Please note, this security will not be marginable for 30 days from the settlement date, at which time it will automatically become eligible for margin collateral. Additional information about the sources, amounts, and terms of compensation can be found in the ETF's prospectus and related documents. Fidelity may add or waive commissions on ETFs without prior notice. BlackRock and iShares are registered trademarks of BlackRock, Inc. and its affiliates.

FBS receives compensation from the fund's advisor or its affiliates in connection with a marketing program that includes the promotion of this security and other ETFs to customers ("Marketing Program"). The Marketing Program creates incentives for FBS to encourage the purchase of certain ETFs. Additional information about the sources, amounts, and terms of compensation is in the ETF's prospectus and related documents. Please note that this security will not be marginable for 30 days from the settlement date, at which time it will automatically become eligible for margin collateral.

News, commentary (including "Related Symbols") and events are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.

Any data, charts and other information provided on this page are intended to help self-directed investors evaluate exchange traded products (ETPs), including, but limited to exchange traded funds (ETFs) and exchange traded notes (ETNs). Criteria and inputs entered, including the choice to make ETP comparisons, are at the sole discretion of the user and are solely for the convenience of the user. Analyst opinions, ratings and reports are provided by third-parties unaffiliated with Fidelity. All information supplied or obtained from this page is for informational purposes only and should not be considered investment advice or guidance, an offer of or a solicitation of an offer to buy or sell a particular security, or a recommendation or endorsement by Fidelity of any security or investment strategy. Fidelity does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating ETPs. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use. Determine which securities are right for you based on your investment objectives, risk tolerance, financial situation and other individual factors and re-evaluate them on a periodic basis.

Before investing in any exchange traded product, you should consider its investment objective, risks, charges and expenses. Contact Fidelity for a prospectus, offering circular or, if available, a summary prospectus containing this information. Read it carefully.