At a glance
BUFY charges 1.0% a year, above the 0.86% average of the 7 funds most like it (the most expensive of 8). It has $163.2M in assets, the 8th largest of that group. Over the past year it returned +8.6% with distributions reinvested (S&P 500: +11.5%), the weakest of those 8 funds.
The short version
FT Vest Laddered International Moderate Buffer ETF (BUFY) is a First Trust fund of funds. It splits its money about equally among four buffer ETFs tied to the iShares MSCI EAFE ETF, which holds developed-market stocks outside the US and Canada. Each of the four aims to absorb the first 15% of EFA's losses over a year, and in return its gains are capped. BUFY's 1% expense ratio is the highest among similar buffer funds.
Price history
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BUFY +8.6% 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 | |
|---|---|---|---|---|---|---|
| BUFY price data to Oct 27, 2026 | +6.8% | +8.6% | — | — | — | +8.0% |
- Over the year to Oct 27, 2026, BUFY returned +8.6%, 8th of 8 among similar funds.
- Its worst full calendar year was 2025 (+18.2%); its best was 2025 (+18.2%).
- The deepest fall in its price history was 8% (Sep 26, 2024 to Apr 8, 2025), recovered by Apr 29, 2025.
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +6.8% |
| 2025 | +18.2% |
| 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 | Before this security existed |
What's inside
As of Aug 31, 2026, the fund held 4 securities; the ten largest made up 99.98% of assets.
| Fund held | Weight | |
|---|---|---|
| FT Vest International Equity Moderate Buffer ETF - December | 25.03% | |
| FT Vest International Equity Moderate Buffer ETF - September | 25.02% | |
| FT Vest International Equity Moderate Buffer ETF - June | 24.98% | |
| FT Vest International Equity Moderate Buffer ETF - March | 24.96% |
By country
United States 99.98%By asset type
Stocks 99.98%What changed recently
- Over the three months to Aug 31, 2026, investors added a net $42.3M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +0.34%, +1.28%, +1.27%.
How it works
BUFY does not pick stocks. Under normal conditions it puts substantially all of its assets into four FT Vest International Equity Moderate Buffer ETFs, named for March, June, September and December. As of August 31, 2026, each made up about 25% of the fund. All four are tied to the iShares MSCI EAFE ETF (EFA). EFA tracks large and mid-sized companies in developed markets outside the US and Canada. First Trust is the advisor, Vest Financial is the sub-advisor, and BUFY buys the underlying ETFs on the open market.
Each underlying ETF holds FLEX Options on EFA. These are customizable option contracts traded on an exchange. Each outcome period lasts about one year and starts on the third Friday of the fund's named month. Over that period, each underlying ETF aims to match EFA's price return up to a cap, while absorbing the first 15% of EFA's losses, before fees. At the end of the period the options expire or are sold, the buffer refreshes, and a new cap is set based on market conditions.
One underlying fund resets every quarter, which spreads out the risk of buying a single buffer fund at a bad moment. But BUFY itself offers no stated buffer. At any given time, some of its holdings are partway through their periods. They may have less buffer or little upside left. So BUFY will likely not get the full benefit of the buffers, and the caps may limit its gains.
What it really costs
- BUFY charges 1% a year, versus an average of 0.86% for the similar funds below (8th 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
Its underlying funds aim to absorb the first 15% of losses in international developed-market stocks, giving up some upside in return.
BUFY could give a retirement portfolio international stock exposure with smaller swings. As of October 27, 2026, its one-year volatility was 7%. Its beta was 0.42, meaning it moved less than half as much as the broader market. Its record is short. It launched on September 26, 2024, so it missed the 2008, 2020 and 2022 downturns. Its deepest drop was 8%, from launch to April 8, 2025, and it was back to its old high by April 29, 2025. Its only full calendar year, 2025, returned 18.2%. Someone selling in a bad year may lose less than with EFA itself, but the buffer covers only the first 15% of EFA losses and is not guaranteed. BUFY has recorded no distributions, so it does not provide income. Its 1% expense ratio is above the 0.86% peer average. 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
- Investors who want developed-market stocks outside the US and Canada through EFA, with underlying funds that buffer the first 15% of losses.
- People who prefer not to time one buffer ETF's start date, since BUFY's four holdings reset in March, June, September and December.
- Investors who accept capped gains for smaller swings; one-year volatility was 7% and beta 0.42 as of October 27, 2026.
Look elsewhere if
- Cost-conscious investors: BUFY's 1% expense ratio ranks 8th of 8 among similar buffer funds, against a 0.86% peer average.
- Anyone needing regular income from this part of a portfolio, since no distributions have been recorded for the fund.
- Investors who want a long track record: BUFY launched in September 2024 and missed the 2008, 2020 and 2022 downturns.
Close alternatives
Matched by other buffer (defined-outcome) funds, largest first.
| Fund | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|
| BUFY this fund | 1% | $163.2M | +8.6% | — |
| BUFR FT Vest Laddered Buffer ETF | 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% |
| FDEC FT Vest US Equity Buffer ETF - December | 0.85% | $1.31B | +12.9% | +18.5% |
| FJAN FT Vest US Equity Buffer ETF - January | 0.85% | $1.47B | +12.3% | +17.4% |
| FFEB FT Vest U.S. Equity Buffer Fund - February | 0.85% | $1.42B | +12.9% | +18.6% |
Questions investors ask
Does BUFY pay dividends?
No. As of October 27, 2026, BUFY had recorded no distributions. Its stated goal is capital appreciation, not income. The four ETFs it holds base their outcomes on the price return of the iShares MSCI EAFE ETF, which leaves out dividends. Investors who need regular cash from international stocks would need funds that pay distributions, or they would have to sell BUFY shares when they need money.
How does the BUFY buffer work?
BUFY itself has no stated buffer. The buffer comes from its four underlying FT Vest ETFs. Each aims to absorb the first 15% of losses in the iShares MSCI EAFE ETF over a one-year period, with gains capped. One resets each quarter, in March, June, September and December. At any time, some holdings are partway through their periods, so BUFY will likely not get the full buffer, and the caps may limit its gains.
What's the difference between BUFY and BUFR?
Both are First Trust funds that ladder FT Vest buffer ETFs, but they differ in scale and cost. BUFY holds four international buffer funds tied to the iShares MSCI EAFE ETF. BUFR had about $10.5 billion in net assets, against BUFY's $163 million, as of August 31, 2026. BUFR charges 0.95% a year and BUFY 1%. Over the year to October 27, 2026, BUFR returned 11.6% and BUFY 8.6%. BUFR's prospectus shows which market it is tied to.
What is BUFY's expense ratio?
BUFY's expense ratio is 1%, according to its prospectus filed December 29, 2025. The management fee is 0.10%. The prospectus says the fund also pays management fees through the First Trust ETFs it holds. Among eight similar buffer funds, BUFY ranks 8th of 8 on cost, and the group's average is 0.86%. Over time, a higher fee takes a bigger share of returns.
Is BUFY good for retirement?
BUFY may suit retirees who want international stock exposure with smaller swings and who accept capped gains. Its deepest drop was 8%, from launch to April 8, 2025, and it recovered by April 29, 2025. It returned 18.2% in 2025. On the other hand, it pays no income, costs 1% a year, and launched only in September 2024. Past results don't predict the future, and BUFY is best judged within a whole portfolio.