Wall Street Keeps Minting Box ETFs Despite Treasury Scrutiny

Markets Contact us:Provide news feedback or report an error Confidential tip?Send a tip to our reporters Site feedback:Take our Survey By Lu Wang , Yiqin Shen , and Denitsa Tsekova August 25, 2026 at 4:30 PM UTC Updated on August 25, 2026 at 5:56 PM UTC An exchange-traded fund strategy that delivers Treasury bill-like returns with lower taxes is getting a fresh boost as Wall Street firms bet the approach will survive rising scrutiny from the US Treasury. Two funds are joining a list of ETFs that buy what are called options box spreads, which use a combination of calls and puts to create a risk-neutral position returning roughly the same as a T-bill. Because that return comes from options appreciation rather than interest, it’s a capital gain that can be deferred using the trading mechanism underpinning ETFs — delaying any tax bill.