Exchange-Traded Note (ETN)
What is an Exchange-Traded Note (ETN)? An exchange-traded note (ETN) is a loan instrument issued by a financial entity, such as a bank. It comes with a set maturity period, usually from 10 to 30 years. It can be traded based on demand and supply. Unlike other debt tools, exchange-traded notes will not produce any...
Exchange-Traded Product (ETP)
What is an Exchange-Traded Product (ETP)? An exchange-traded product (ETP) refers to a financial product that is publicly traded like a bond in the stock market. ETPs offer a cost-effective and safe way to diversify an investment portfolio by acquiring exposure to an index or asset class. They are passive investments, with typically lower fees...
KSOP
What is a KSOP? A KSOP is a popular retirement plan that integrates the stock holding plan of an employee with a 401(k) plan. The organization would balance employee payments in shares rather than cash under the KSOP form of retirement package. By minimizing costs that would occur by running an employee stock ownership plan...
Quote-Driven Market
What is a Quote-Driven Market? A quote-driven market is a type of secondary market trading structure where investors trade with dealers. Nearly all bonds, currencies, and spot commodities are traded in quote-driven markets. Such markets are also commonly known as price-driven markets or dealer markets. Understanding a Quote-Driven Market A quote-driven market is among one...
Kangaroo Bond
What is a Kangaroo Bond? A Kangaroo Bond refers to a bond issued by non-Australian issuers in Australian dollars (AUD) in Australia, in compliance with the local laws and regulations. The bonds provide global issuers with access to an additional and external capital market and a source of diversification of their investor base, eventually decreasing...
