Exchange Trade Notes: Why ETNs May Be Safer Than You Think
29 October 2009 at 2:07 pm by Staff
Exchange-trade notes may do a better job tracking an index. After all, you get the exact returns of the index minus the expense ratio. But, like an insurance contract, an ETN is a promise from a financial institution… and that means your investment is only as good as the ETN issuer.
See if the ”credit risk” of ETNs are a minor inconvenience or a consequential barrier.
Are ETNs Genuinely ‘Safe’? - Paul Amery, Index Universe
Are Inflation ETFs For You? - Jon Ogg, 24/7 Wall Street
VIX Spike Of 35% In Four Days Is Short-Term Buy Signal - Bill Luby, VIX And More
Disclosure Statement: ETF Expert is a web log (”blog”) that makes the world of ETFs easier to understand. The content does not represent investment advice, nor are the securities discussed suitable for every investor. Pacific Park Financial, Inc., a Registered Investment Adviser with the SEC, may hold positions in the ETFs, mutual funds and/or index funds mentioned above. Investors who are interested in money management services may visit the Pacific Park Financial, Inc. web site.
Tags | ETN Investing, Inflation ETFs, Stock Market Volatility
