Market Extra: It’s one of the hottest ETFs in the coronavirus era this year“”and the woman who nailed the 2018 stock-market shock created it a year ago

Market Extra: It’s one of the hottest ETFs in the coronavirus era this year“”and the woman who nailed the 2018 stock-market shock created it a year ago

It is intended to move in and out of Treasury inflation-protected securities, or TIPS, and over-the-counter fixed-income options in a bid to beat the market.. The Quadratic ETF is up 6.5% in the year to date, and including monthly distributions it is up nearly 11%.. is up 1.2%, after all three indexes marshaled an epic rally from their March lows over the past six weeks.. Earlier this month, Bloomberg Intelligence said returns for IVOL, referring to its ticker symbol, put the fund in the top 5% of ETFs in 2020, with its assets under management up to around $115 million, compared with $5 million when the fund first kicked off.. "The fund has a unique approach and is more expensive than other bond funds but the premium fee has been justified this year," he said.. Davis has viewed IVOL as a hedge against corrections in equity and real estate as the prices of stocks and properties tend to fall during times of increased fixed-income volatility.. a gauge that tracks implied volatility in the S&P 500 stock index using options.. To be sure, scenarios in which IVOL would suffer including an inverted yield curve-the spread between longer-dated and shorter-dated bonds-falling inflation,