At a glance
BUFR charges 0.95% a year, above the 0.83% average of the 7 funds most like it (the 6th cheapest of 8). It has $10.49B in assets, the largest of that group. Over the past year it returned +11.6% with distributions reinvested (S&P 500: +11.5%), 2nd of those 8 funds; over three years it returned +16.8% a year. At its worst it fell 13.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 8 months after the low. Its ten largest positions make up 83.3% of the fund, out of 12 in all.
The short version
FT Vest Laddered Buffer ETF (BUFR), from First Trust, holds 12 FT Vest U.S. Equity Buffer ETFs, one for each month. Each uses options on the SPDR S&P 500 ETF Trust (SPY), aiming to absorb the first 10% of SPY's losses over one year while capping gains. Staggering their annual resets spreads out timing risk, but BUFR offers no stated buffer itself and costs 0.95% a year, above the 0.83% average for similar buffer funds.
Price history
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BUFR +11.6% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| BUFR official prospectus, to Dec 31, 2024 | — | +14.61% | — | — | — | +9.97% |
| BUFR price data to Oct 27, 2026 | +10.3% | +11.6% | +16.8% | +9.9% | — | +10.2% |
- Over the year to Oct 27, 2026, BUFR returned +11.6%, 2nd of 8 among similar funds.
- Its 5-year annualized return was +9.9%.
- Its worst full calendar year was 2022 (-7.6%); its best was 2023 (+19.6%).
- The deepest fall in its price history was 13.7% (Jan 3, 2022 to Oct 12, 2022), recovered by Jun 2, 2023.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +10.3% | — |
| 2025 | +12.4% | — |
| 2024 | +14.7% | +14.61% |
| 2023 | +19.6% | +19.81% |
| 2022 | -7.6% | -7.67% |
| 2021 | — | +12.04% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 13.7% over that stretch · deepest drop along the way 13.7%, back to its old high 7.7 months after the low |
What's inside
As of Aug 31, 2026, the fund held 12 securities; the ten largest made up 83.31% of assets.
| Fund held | Weight | |
|---|---|---|
| FT Vest U.S. Equity Buffer ETF - October | 8.34% | |
| FT Vest U.S. Equity Buffer ETF - March | 8.34% | |
| FT Vest U.S. Equity Buffer ETF - January | 8.34% | |
| FT Vest U.S. Equity Buffer ETF - December | 8.33% | |
| FT Vest U.S. Equity Buffer ETF - June | 8.33% | |
| FT Vest U.S. Equity Buffer ETF - November | 8.33% | |
| FT Vest U.S. Equity Buffer ETF - February | 8.33% | |
| FT Vest U.S. Equity Buffer ETF - July | 8.33% | |
| FT Vest U.S. Equity Buffer ETF - September | 8.32% | |
| FT Vest U.S. Equity Buffer ETF - April | 8.32% | |
| FT Vest U.S. Equity Buffer ETF - May | 8.32% | |
| FT Vest U.S. Equity Buffer ETF - August | 8.32% |
By country
United States 99.95%By asset type
Stocks 99.95%What changed recently
- Over the three months to Aug 31, 2026, investors added a net $613.8M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +0.05%, +0.66%, +1.74%.
How it works
BUFR does not track an index. First Trust and sub-adviser Vest Financial invest substantially all its assets in 12 FT Vest U.S. Equity Buffer ETFs that they also manage, one for each month, from January (FJAN) through December (FDEC). As of August 31, 2026, each was about 8.3% of assets. BUFR acquires these shares only through exchange trading.
Each underlying ETF holds FLEX Options (customizable exchange-traded options) on the SPDR S&P 500 ETF Trust (SPY). Over a roughly one-year “target outcome period” starting on the third Friday of its named month, each aims to match SPY's price return up to a cap while absorbing the first 10% of SPY's losses, before fees. Then the options roll into a new set. The 10% buffer stays the same; the new cap depends on market conditions and can rise or fall.
Staggered reset dates aim to give at least part of the portfolio downside protection and room to gain at any time. But BUFR itself has no target outcome and no stated buffer. It typically enters each underlying ETF partway through a period, when the buffer may be partly used up or the cap nearly reached. So BUFR will likely not get the full buffer, and caps can limit its gains. The outcomes also leave out SPY's dividends.
What it really costs
- BUFR charges 0.95% a year, versus an average of 0.83% for the similar funds below (6th of 8, cheapest first).
- Of that, 0.1% is the management fee; the rest covers other fund expenses.
Structure and tax notes
- Uses options to limit losses within a range (the buffer) in exchange for a cap on gains over each outcome period; results depend on when you buy relative to the period start.
- Invests in other funds rather than directly in stocks or bonds, so its holdings are those funds.
In a retirement portfolio
It gives US large-cap stock exposure with smaller swings than the market, giving up some upside in return for partial protection against losses.
BUFR holds 12 FT Vest U.S. Equity Buffer ETFs. Each one uses options to absorb the first 10% of losses in the SPDR S&P 500 ETF Trust (SPY) over a one-year period, in exchange for a cap on gains. BUFR itself has no stated buffer. It launched after the 2008 and 2020 crashes. Its worst calendar year was 2022, when it lost 7.67%. During that bear market it fell 13.7% from January 3 to October 12. It recovered by June 2, 2023, about 7.7 months later. Anyone who sold near the low locked in a loss.
It is not built for income, and no distributions are recorded. Its prospectus dated December 2025 lists an expense ratio of 0.95%. That is higher than the 0.83% average of similar buffer funds. Because of the caps, it may lag in strong markets. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Retirees wanting S&P 500 exposure with smaller swings; as of October 27, 2026, its one-year beta was 0.5, roughly half the market's moves.
- Investors who want one fund spreading entry timing across 12 monthly buffer ETFs, instead of picking a single fund's start date.
- Long-term holders comfortable trading some upside for a cushion; its deepest drop since February 2021 was 13.7%, in 2022, recovered by June 2023.
Look elsewhere if
- Income seekers: BUFR has no recorded distributions, and its buffer outcomes use SPY's price return, which leaves out dividends.
- Cost-focused investors: its 0.95% expense ratio tops the 0.83% similar-fund average; Innovator Power Buffer ETFs such as PJAN charge 0.79%.
- Investors wanting full S&P 500 upside or firm protection: underlying caps limit gains, BUFR has no stated buffer, and it lost 7.67% in 2022.
Close alternatives
Matched by other buffer (defined-outcome) funds, largest first.
| Fund | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|
| BUFR this fund | 0.95% | $10.49B | +11.6% | +16.8% |
| BUFD FT Vest Laddered Deep Buffer ETF | 0.95% | $2.04B | +9.5% | +13.9% |
| PJAN Innovator U.S. Equity Power Buffer ETF - Ja… | 0.79% | $1.44B | +10.5% | +14.8% |
| PDEC Innovator U.S. Equity Power Buffer ETF - De… | 0.79% | $984.1M | +11.6% | +14.9% |
| BUFQ FT Vest Laddered Nasdaq Buffer ETF | 1% | $1.61B | +13.5% | +17.6% |
| PFEB Innovator U.S. Equity Power Buffer ETF - Fe… | 0.79% | $916.6M | +10.7% | +14.4% |
| PJUL Innovator U.S. Equity Power Buffer ETF - Ju… | 0.79% | $1.25B | +8.6% | +14.9% |
| BUFC AB Conservative Buffer ETF | 0.69% | $1.06B | +6.4% | — |
Questions investors ask
Is BUFR a good investment for retirees?
It may suit retirees who want S&P 500 exposure with smaller swings and don't need income from it. As of October 27, 2026, its one-year beta was 0.5, meaning it moved about half as much as the market. The trade-offs are capped gains, no recorded distributions and a 0.95% expense ratio, above the 0.83% average for similar buffer funds. BUFR's own management fee is 0.10%; the rest reflects fees of the 12 buffer ETFs it holds.
Does BUFR pay dividends?
No. BUFR has no recorded distributions. Its 12 underlying buffer ETFs hold options on the SPDR S&P 500 ETF Trust (SPY), not the stocks themselves, and their outcomes are based on SPY's price return, which leaves out the dividends S&P 500 companies pay. Over long periods, that missing income can add up compared with an S&P 500 index fund. Retirees who need spending money from BUFR would have to trim shares.
Does BUFR protect against losses?
Only partly. BUFR itself offers no stated buffer. Each of its 12 underlying ETFs aims to absorb the first 10% of SPY's losses over its own one-year period, which starts on the third Friday of its named month. BUFR typically does not acquire those shares on a period's first day, so it will likely not get the full buffer. It still lost 7.67% in 2022, and its worst quarter was a 9.97% drop in the quarter ending June 30, 2022.
What is BUFR's average annual return?
As of December 31, 2024, BUFR's average annual return since its August 10, 2020 launch was 9.97%, according to its prospectus. Calendar-year returns were 12.04% in 2021, a 7.67% loss in 2022, 19.81% in 2023 and 14.61% in 2024. Based on market price, it returned 12.44% in 2025. As of October 27, 2026, it returned 11.6% over one year and 9.9% a year over five years. Caps on its underlying ETFs limit how much it can gain in strong rallies.
What's the difference between BUFR and BUFD?
The main difference is how much protection each seeks. BUFD, the FT Vest Laddered Deep Buffer ETF, aims for deeper downside protection, as its name says, which typically means tighter caps on gains. Both are First Trust laddered buffer funds charging 0.95% a year. As of October 27, 2026, BUFR returned 11.6% over one year and 16.8% a year over three years, versus 9.5% and 13.9% for BUFD. BUFR is also much larger: $10.49 billion in net assets against $2.04 billion as of August 31, 2026.