ARKD vs IBUF

ARKDFARK DIET Q1 Buffer ETF

IBUFBInnovator International Developed 10 Buffer ETF

In short

ARKD A buffer ETF pointed at ARK's flagship innovation fund instead of a stock index: it absorbs about half of any ARKK decline over the 12-month outcome period, in exchange for the first ~5% of upside and a share of the rest. Fee: 1.44%.

IBUF Most buffer ETFs aim at the S&P 500. IBUF looks overseas, using the iShares MSCI EAFE ETF as its reference and buffering the first 10% of losses over each quarterly outcome period, with upside capped in return.

Stated mandate

ARKD ARKD seeks capital appreciation while limiting participation in losses of ARKK to approximately half over each Outcome Period. It participates in ARKK gains above an approximately 5% hurdle, with documented upside participation of 61.20%.

IBUF The Fund uses a quarterly defined-outcome strategy based on the iShares MSCI EAFE ETF. It seeks to provide gains up to a cap while buffering the first 10% of reference-asset losses for investors holding through the full outcome period.

Why people hold it

• ARKD Buffer mechanics aimed at ARK's flagship innovation fund, not an index: shareholders take roughly half of any ARKK decline over the 12-month outcome period.sec.gov
• No upside ceiling in its terms. Instead of a cap, it gives up the first ~5% of ARKK's gains and takes a set share above that, struck at each period's start.sec.gov
• A plain 1940 Act ETF wrapper: the outcome comes from the fund's own options book, not a bank's note or an issuer's credit.ark-funds.com

• IBUF Buffer funds crowd around US large caps. This one references the iShares MSCI EAFE ETF, so the 10% cushion sits on developed markets outside the US.
• The outcome period runs a quarter, not a year, so the buffer and the cap reset four times annually rather than once.
• At 0.85% a year, it comes in under the median fee among the buffer funds we track.
• Sits among the strongest implementations in its buffer-fund peer group on our review.

Worth knowing

• ARKD At 1.44%, it carries a higher fee than the typical buffer fund; peers like CBXO (0.69%) and KBFR (0.79%) run leaner.
• The 50% loss share is a haircut, not a floor, and the terms are measured over the full outcome period, so a mid-period entry changes the math.sec.gov
• Launched in 2026, it's a young fund with a small asset base and light trading, which can mean wider spreads.

• IBUF The price of the cushion is a ceiling. Gains above each quarter's cap are given up, and that cap is reset at the start of every outcome period.
• The 10% buffer is designed for investors who hold a full outcome period. Buy mid-quarter and your actual cushion and cap differ from the stated terms.
• Launched in July 2024 and lightly traded, so the track record is short and spreads can run wider than on large index funds.

Full ARKD profile⁠

Full IBUF profile⁠