ETFs for Risk-On Investors
After a shaky start to 2025, risk is back on the menu.
Investor appetite for it has returned from a post-Liberation Day lull, with thematic, high-volatility and leveraged funds seeing increased interest as investors adapt to uncertainty about the economic impact of varied US tariffs. One of the more popular risk-on ETFs is Cathie Wood’s ARK fund, which takes highly concentrated bets on individual stocks and saw a major drawdown in 2022 but has since rebounded, soaring 30% so far this year. As hedged strategies like buffer ETFs grow in popularity, risk-taking tactics will also continue to evolve. “Whatever was going on with the tariff situation, I think people have kind of accepted it,” said Dan Sotiroff, a senior research…
