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AI Debt Blowups Become Fodder for ETFs Aimed at Retail Investors

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AI Debt Blowups Become Fodder for ETFs Aimed at Retail Investors Two investment firms are seeking to launch exchange-traded funds that would let retail investors bet on fear about potential credit defaults at artificial intelligence companies, just as the AI trade reels from one of its sharpest selloffs in years. Tuttle Capital Management and Defiance ETFs have each filed with the US Securities and Exchange Commission to offer funds tied to credit-default swaps separately on CoreWeave Inc....

AI Debt Blowups Become Fodder for ETFs Aimed at Retail Investors Two investment firms are seeking to launch exchange-traded funds that would let retail investors bet on fear about potential credit defaults at artificial intelligence companies, just as the AI trade reels from one of its sharpest selloffs in years. Tuttle Capital Management and Defiance ETFs have each filed with the US Securities and Exchange Commission to offer funds tied to credit-default swaps separately on CoreWeave Inc. and Oracle Corp., and Defiance has one tied to Meta Platforms Inc. The derivatives, typically used by institutions to hedge against default, would also be packaged into highly leveraged ETFs linked to baskets of companies heavily exposed to the AI buildout, including chipmakers.
AI (ORG) Tuttle Capital Management (ORG) Defiance (ORG) the US Securities and Exchange Commission (ORG) CoreWeave Inc. (ORG) Oracle Corp. (ORG) Meta Platforms Inc. (ORG)
Originally published by Bloomberg Markets Read original →