‘A style of money on the sidelines’: Calamos Investments thinks ETFs would possibly maybe maybe mild aim CD, money market customers
There would possibly maybe maybe seemingly be an untapped market for change-traded funds.
Consistent with Calamos investments’ Matt Kaufman, there are trillions of bucks across CD and money market accounts, and it’s a market ETFs would possibly maybe maybe mild detect to capture.
“That is bigger than nearly the ETF screech itself,” the firm’s head of ETFs suggested CNBC’s “ETF Edge” earlier this week. “There’s various money on the sidelines that would possibly maybe maybe scramble into this.”
Kaufman, who’s in the fervour rates will halt greater for longer camp, thinks structured and alternate choices ETFs designed for ache management and profits can provide balance.
“We saw it being not easy to acquire ache management and profits from bonds when rates were so low,” he acknowledged. “As rates possess moved … off of zero or 4, 5% now, we are able to manage to pay for to carry capital safety over an period. And, will possess to you are going to be ready to cease that, there’s various opportunities to make spend of these merchandise.”
Kaufman talked about ETFs on this greater-rate ambiance would possibly maybe maybe seemingly be in particular beneficial for of us seeking to fetch opportunities to outpace inflation — in particular retirees.
“You are going to be ready to acquire greater than the ache-free rate. …Your money is linked to the market with out a greater plot back ache,” Kaufman added. “Here is all tax-deferred teach.”
Kaufman’s firm Calamos correct began launching a suite of 12 structured safety ETFs.
