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What is an exchange traded product (ETP)?
Key takeaways
- Exchange traded products include exchange traded funds and exchange traded notes.
Exchange traded products is the collective name for exchange traded funds (ETFs) and exchange traded notes (ETNs).
They are investments that give you access to either a basket of securities or a commodity through a single listed share traded on an exchange, or access to the returns earned by a basket of securities or a commodity, or even a single share on a foreign exchange.
They are index-tracking investments, as they track the price of securities in an index or a commodity on an commodities exchange and are therefore typically low cost.
Not all ETPs are collective investment schemes.
