A derivative security that mimics traditional ETFs, which usually track an index or a sector group of companies. Often seen on the Hong Kong Stock Exchange, these exchange-traded funds are often seen by critics as too sophisticated for individual investors, and have generated scrutiny from regulators in U.S. and European markets.
Related information about synthetic ETF:
- Synthetic ETF Definition | Investopedia
An investment that mimics the behavior of an exchange-traded fund (ETF) through the use of derivatives such as swaps. Proponents of synthetic ETFS say they ...
- Synthetic ETFs Under the Microscope: A Global Study - Morningstar
This section of the report focuses on the changes that have been implemented by synthetic ETF providers in. Europe since our first report was issued last year.
- Synthetic exchange traded funds (ETFs) | MoneySmart by ASIC
Jun 29, 2012... ETF's assets and the assets or index it is designed to track. When the synthetic ETF enters a swap agreement, this creates counterparty risk.
- How a synthetic ETF works
May 17, 2011 ... Not all ETFs are simple. Synthetic ETFs are exploding in number and entail counterparty risks and collateral risks that investors should ...
- SLCG Blog: What is a Synthetic ETF?
Feb 22, 2012 ... One such ETF (a synthetic ETF), also known as a swap-based ETF, tracks the return of a selected index (e.g. the S&P 500 stock index) using a ...
- Synthetic ETF
Synthetic ETF. A synthetic ETF is simply a synthetic security that trades as an ETF . It would usually replicate the returns on a portfolio, typically on an index.
- Synthetic ETF - Bogleheads
Jun 28, 2011 ... Clock.png, This Page is in the middle of a major edit or expansion. Please view the edit history should you wish to contact the person who ...
- Synthetic ETF Considerations: No Cause for Concern - Seeking Alpha
Jun 5, 2011 ... A recent Financial Stability Board (FSB) report and a few subsequent blog posts and articles have created a bit of a stir among ETF investors, ...